Jason Kronick, Tax Evasion, New Jersey 2021

Bergen County Man Indicted for Tax Evasion

A Bergen County man has been arrested and charged with four counts of tax evasion, announced Acting U.S. Attorney Rachael A. Honig.

Jason Kronick, 48, of Woodcliff Lake, New Jersey, was charged by indictment on August 25, 2021 with three counts of income tax evasion and one count of employment tax evasion. He made his initial appearance before U.S. Magistrate Judge André M. Espinosa in Newark federal court and was released on $1 million unsecured bond.

According to documents filed in this case and statements made in court, Kronick evaded payment of more than $4.3 million in income taxes, not including penalties and interest, despite having earned approximately $20 million in taxable income. He used approximately $1.5 million from his business bank accounts to buy approximately 40 rare and expensive watches; used at least $1.9 million from the business accounts to pay for home renovations; used company funds to pay at least $700,000 in personal credit card bills; transferred more than $700,000 from his business accounts to various casinos, where he converted the money to chips, gambled, and then redeemed chips for cash; and cashed approximately $160,000 in checks at check-cashing businesses to conceal the proceeds from the IRS. Kronick also filed a statement with the IRS in 2011, falsely claiming that he had no income for that year, when in fact he received more than $2.8 million in income.

Each of the four counts of tax evasion carries a maximum penalty of five years in prison and a fine of up to $250,000.

Acting U.S. Attorney Honig credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to the charges.

The government is represented by Assistant U.S. Attorney Sarah A. Sulkowski of the Cybercrime Unit in Newark.

Mandatory Facts: The defendant, Jason Kronick, is a 48-year-old man from Woodcliff Lake, New Jersey. The exact criminal charges against him are four counts of tax evasion. The case was filed on August 25, 2021, and Kronick made his initial appearance in court. He was released on $1 million unsecured bond. The maximum penalties for each count of tax evasion are five years in prison and a fine of up to $250,000.

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