Woman From Nearby Vallejo Guilty Of Tax Evasion, Faces Prison Sentence

SOLANO COUNTY, CA -- A Vallejo woman pleaded guilty Friday to tax evasion for failing to report income from year-end bonus checks she and her spouse received, federal prosecutors said.

Christine Hill, 54, faces as many as five years in prison and up to a $250,000 fine when she is sentenced.

Hill pleaded guilty March 17 to allegedly knowingly and willingly filing a fraudulent 2010 tax return, according to prosecutors.

According to a plea agreement, Hill is the director of operations at John Compagno, MD, Inc. in Hercules where she handles payroll.

Prosecutors alleged that Hill knew that bonuses are subject to federal taxes but still failed to pay the taxes on some bonuses she received between 2003 and 2011.

Hill's spouse also did work for the same company as a contractor and the company allegedly did not issue him any Forms 1099 for the services.

Prosecutors also alleged that between 2003 and 2011 Hill did not report bonuses and other payments to her spouse to the IRS, which reduced his taxes by $35,566.

A sentencing for Hill has been set for June 20 in the courtroom of Judge Richard Seeborg.

Bay City News contributed to this report/Image via Shutterstock