Five years ago, 35-year-old model Bar Refaeli and her mom, Zipi Refaeli, were detained and charged for evading taxes in Israel. Bar was accused of lying about her living situation and gifts she received to avoid declaring money to the government. Bar finally took a plea deal and will serve nine months of community service. But as Bar Refaeli pays homage to community service supermodel queen, Naomi Campbell, by picking up trash while wearing couture, her mother will be locked up. Zipi got 16 months in the clink.
USA Today said Bar, the Fan Bingbing of Israel, and Zipi were convicted in July of evading taxes on income nearing $10 million. Israeli tax law states that residency is determined by how long a person is actually in Israel during a calendar year so Bar used her mom and brother’s names for houses in Israel to avoid claiming taxes. Prosecutors said she earned almost $7.2 million between 2009 and 2012 and falsely claimed residency overseas. Bar dated Leonardo DiCaprio on-and-off from 2005 to 2011 and called her relationship with him a “family unit” and argued she could claim residence at his place in the U.S. LOL! What? The Pussy Posse is the only family unit Leo has ever been a part of, but nice try, Bar.
The court rejected Bar’s defense and shit on her Leonardo DiCaprio defense:
Prosecutors rejected her claim and charged her with providing incorrect tax information. Refaeli’s indictment said she earned some $7.2 million between 2009 and 2012 while claiming to reside overseas to avoid paying Israeli taxes on her income.
In previous appeals, an Israeli court ruled that Refaeli’s relationship with a Hollywood star did not qualify as a “family unit,” and therefore she could not claim DiCaprio’s U.S. residence to avoid paying the full taxes she owed.
As part of the plea deal, Bar and Zipi must pay a $1.5 million fine on top of the millions they owe in back taxes.
Zipi got the shit end of the stick and will start serving her sentence next week. Zipi was Bar’s agent so she made a lot of moves that implicated her in the tax evasion scheme:
Refaeli’s mother, who also acted as her agent, was charged with failure to report income, avoiding paying taxes, and aiding someone else in evading tax payments. The indictment said she signed leases for her daughter under the names of other family members to blur Refaeli’s actual residency status and refrained from declaring her own income as her daughter’s agent.
Bar’s lawyer said that the plea bargain proves she didn’t intentionally commit tax evasion.