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Assad Baragzai Sentenced to 10 Months for Tax Evasion, Seattle WA, 2026
Seattle – In a stunning display of greed and disregard for the law, Assad Baragzai, 47, of Yarrow Point, Washington, was sentenced to 10 months in prison and a $75,000 fine for making and subscribing a false tax return.
The sentence was handed down by U.S. District Judge Tana Lin, who slammed Baragzai for his brazen tax evasion scheme. ‘The tax system is an honor system… and you weren’t honorable,’ Judge Lin said. ‘There was absolutely no reason for you to be cheating on your taxes except for pure greed.’
Between 2016 and 2020, Baragzai failed to report as much as $6 million in income on his tax returns. The government believes that the tax loss over the five years was more than $1.7 million, but Baragzai disputes this figure, claiming that he had some legitimate deductions that bring the tax loss down to $1.3 million. Judge Lin ultimately determined the tax loss was $1,348,154.
Baragzai’s tax evasion scheme was uncovered by the Internal Revenue Service Criminal Investigation (IRS-CI). ‘Our government relies on the 85 percent of Americans who each year pay the taxes they owe to keep communities safe, and provide all the other important services we need,’ said U.S. Attorney Tessa M. Gorman. ‘Mr. Baragzai had great business success, but failed to fund the community that made that success possible. Such conduct is not erased by paying what is owed some five years later – it is appropriate that he serve prison time for his willful tax fraud.’
Baragzai is the second defendant to be sentenced in this investigation. In October 2024, his brother-in-law, Rajesh Mathew, was sentenced to 30 days in jail, a $5,000 fine, and 100 hours of community service for making and subscribing a false tax return. Baragzai has agreed to pay restitution to the IRS and may face additional civil penalties, fines, and interest for the tax loss.
‘Instead of paying his fair share toward public resources as every law-abiding American does, Mr. Baragzai misrepresented his income to furnish an already-lavish lifestyle,’ said Adam Jobes, Special Agent in Charge of IRS Criminal Investigation’s Seattle Field Office. ‘All Americans pay a price for this kind of selfishness. For example, school lunches are provided by the United States Department of Agriculture’s Food and Nutrition Service. But for this prosecution, Baragzai’s tax fraud would have cost the government the equivalent of 462,000 school lunches.’
The case is being prosecuted by Assistant United States Attorney Michael Dion. As Baragzai begins his 10-month prison sentence, one thing is clear: tax evasion will not be taken lightly in the future. The IRS-CI will continue to crack down on individuals who seek to cheat the system and undermine the trust of honest taxpayers.
Key Facts
- State: Washington
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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