Bar Refaeli Suspected Of Tax Evasion

According to media reports Thursday, Israel’s tax authority said that international supermodel Bar Refaeli and her mother are suspected of tax evasion for allegedly not reporting millions of dollars in income earned abroad and on luxury items.

Refaeli didn’t report the free Range Rover and Lexus cars she received from car companies in exchange for published photos of herself with the cars, the governing  body claims. It also said Refaeli did not pay taxes on a luxury apartment in Tel Aviv, where she lives.

The super model and her mother were briefly detained Thursday and then released.

As reported by The Daily Mail, they were questioned on Wednesday in what the authority said has been a months-long investigation. The authority said that both Refaeli and her mother have been barred from travelling abroad for six months without permission from authorities.

Refaeli, the former girlfriend of actor Leonardo DiCaprio, models for brands and magazines around the world.

Giora Adereth, a lawyer for Refaeli’s mother, told Israeli Channel 10 TV that “no one here deceived anyone else.”

Both sides also signed a confidentiality clause to keep the deal a secret. Meanwhile, the cars were registered under the importer’s name as a display car, even though the model was driving them.

‘The Tax Authority claimed in court: ‘According to the suspicions, the attempt to cover up these facts and the attempt to distance these properties from the suspect were meant to create a false display according to which the suspect has no ties to Israel, as well as to avoid having to report the income from these barter deals,’ Ynet reported.

In 2010, Refaeli asked the Israel Tax Authority to exempt her from paying taxes because she had worked mostly abroad. Refaeli earned about $2 million in 2008 and 2009 and paid about 46 percent in taxes in Israel.

In September, Refaeli married businessman Adi Ezra, whose family owns the Israeli food importing company Neto ME Holdings. The wedding was preceded by a conflict over whether it was permissible to impose a no-fly zone over it.

What do you think about  the Bar Refaeli suspected of tax evasion story?  Should she have to pay taxes on her earning from other Countries?