Jeffrey Barsky, 60, a member of the family that owns Barsky Diamonds on Jeweler’s Row, has been sentenced to a year in prison for under-reporting $779,177 in gross income on his personal tax returns over several years.
Those charges were not in connection with the family’s business. However, Barsky was also charged in connection with an attempt to avoid filing paperwork for receiving more than $10,000 in cash in a jewelry sale while he was at the store on one occasion, court filings show. Under federal law, any cash transaction of $10,000 or more must be reported separately.
Barsky was indicted in March 2012 by a federal grand jury in Philadelphia for under-reporting gross income from 2005 through 2008. Between those years, he reported income of $294,262 on 1040 forms sent the IRS. His real gross income: $1.07 million, the indictment states.
The IRS said the $779,000 difference equated to $234,105 in losses to the federal government.