Lori Loughlin and Mossimo Giannulli are set to be audited by the Internal Revenue Service (IRS). An exclusive source revealed to Us Weekly, that the couple allegedly wrote off William “Rick” Singer’s reported scam services as a deduction. “They are being audited for five years on their personal income taxes, along with three years for Mossimo’s business.” Mossimo Giannulli is an American fashion designer, who made a majority of his net-worth after he scored a licensing deal with Target in 2000 for a reported $27.8 million. On Monday April 15th, Lori Loughlin and Giannulli pleaded not guilty in the college admissions scam after being indicted by a federal grand jury in Boston. The couple can each face up to 20 years in prison on charges of mail fraud and money laundering conspiracy. Back in early March, news broke that Lori Loughlin and Felicity Huffman were among the 50 high-profile people heavily involved in "the largest college admissions scam ever," which included fraudulent actions to get their children into prestigious colleges. Some of the actions consisted of bribing college officials, cheating on standardized tests and deceiving athletic achievements.<doc-sep>If recent reports are anything to go by, it doesn't look like things will be slowing down for actress Lori Loughlin, her fashion designer husband, Mossimo Giannulli, or their two daughters anytime soon. As previously reported by The Inquisitr, one of Lori Loughlin's daughters -- either Olivia Jade, 19, or Isabella Giannulli, 20 -- is allegedly being investigated by the Department of Justice. Now, based on a report by Us Weekly, it looks like both Lori and Mossimo will be audited by the Internal Revenue Service (IRS). For those who aren't up to date on the family's alleged crimes, here's a quick refresher. Last month, Loughlin and nearly 50 other parents were arrested as part of a college admissions scandal. Dozens of parents, including some celebrities and businessmen, allegedly paid large sums of money in order to grease the wheels and ensure their children were accepted into prestigious universities and colleges across the country. Some of the crimes outlined by federal prosecutors include falsifying athletic and academic achievements, bribing college officials, and cheating on standardized tests. In particular, Lori and Mossimo are accused of paying $500,000 to ensure that their two children -- Olivia and Isabella -- were designated as potential recruits for the University of Southern California's rowing team. While both girls were accepted -- and attended -- USC, neither of them has ever rowed before, let alone competed in high school. Lori Loughlin and husband to be audited by IRS over scandal: source https://t.co/cM2OyzsES4 — MSN (@MSN) April 18, 2019 While other parents have pleaded guilty for their crimes -- including Desperate Housewives actress Felicity Huffman -- both Mossimo and Lori refused to take a plea deal. Shortly after, they were slapped with additional charges for fraud and money laundering, and now, it seems they are going to be audited by the IRS. Speaking to Us Weekly, an unnamed source alleges that the husband and wife wrote off their bribes and payments as a deduction, seeing as how William Singer -- the mastermind at the center of the college admissions scandal -- fronted his services through a charitable organization. "They are being audited for five years on their personal income taxes, along with three years for Mossimo's business," Us Weekly's source reveals. In regards to the aforementioned plea deal -- which Lori rejected -- another unnamed source told Us Weekly that "her attorney told her not take the deal." It seems the mounting pressure from the charges the husband/wife duo are facing is beginning to take its toll on their marriage. "Lori is constantly arguing with Mossimo because she is beginning to grasp that they are in very serious jeopardy," another anonymous source told Us Weekly. "She has tried to hire new lawyers."<doc-sep>Click to email this to a friend (Opens in new window) Lori Loughlin allegedly agreed to lie to the IRS that the $500,000 she and her husband paid to bribe their two daughters’ way into college was just “donations.” The former “Full House” star was caught scheming with admitted college admissions scammer William “Rick” Singer in a secretly recorded phone conversation on Nov. 29, according to the criminal complaint filed last week. At the behest of federal investigators, Singer tells Loughlin, 54, that his charity KWF is being audited by the IRS and that he’s already alerted her fashion designer hubby, Mossimo Giannulli. “I told Moss already and I wanted to make sure that you knew, as well, if they happened to call you, is that nothing has been said about the girls, your donations helping the girls get into USC to do … crew even though they didn’t do crew,” Singer tells her. “So we — so we just — so we just have to say we made a donation to your foundation and that’s it, end of story,” Loughlin replies. Singer answers, “That is correct.” Loughlin and Giannulli are among 50 people charged in the widespread scam in which kids fraudulently gained admission to some of the top schools in the country, either by cheating on their college admissions tests or as fake athletic recruits. The couple is accused of paying Singer $500,000 to get both their daughters, Olivia Jade Giannulli and Isabella Rose Giannulli, into the University of Southern California as competitive rowing recruits — even though neither girl participated in the sport. Other parents nabbed for allegedly paying bribes include “Desperate Housewives” star Felicity Huffman.<doc-sep>
Uh oh. Apparently, Lori Loughlin and Mossimo Giannulli are now facing an audit from the IRS because of their alleged involvement in the college admissions scandal, Us Weekly reported April 18. An insider revealed to the outlet, “They are being audited for five years on their personal income taxes, along with three years for Mossimo’s business,” because the duo allegedly wrote off William “Rick” Singer’s alleged scam services as a deduction. And now it might come back to haunt them. Loughlin, 54, and Giannulli, 55, were indicted — along with several other parents — on March 12 on charges related to a nationwide college admissions cheating scam. They allegedly “agreed to pay bribes totaling 500,000 in exchange for having their two daughters [20-year-old daughter Isabella and 19-year-old daughter Olivia] designated as recruits to the USC crew team — despite the fact that they did not participate in crew — thereby facilitating their admission to USC.” If they did write those services off, we can see how the IRS could take issue with the action. On Monday, April 15, Loughlin and Giannulli filed pleas in the case and pleaded not guilty to all charges. They were also hit with more charges on April 9. Filings in the plea obtained by In Touch in regards to the actress read, “Ms. Loughlin and her counsel affirm that Ms. Loughlin has received a copy of the Second Superseding Indictment and that Ms. Loughlin pleads not guilty to each of the charges against her.” Her husband’s also noted, “Mr. Giannulli pleads not guilty to each of the charges against him.” Loughlin’s friends apparently think that her husband is the one to blame for getting them into this mess — although frankly, the IRS probably won’t care if the agency does indeed investigate the married couple’s recent tax filings. “Everyone feels bad for her,” an insider explained to Us Weekly. “They think the situation was something concocted by her husband.” Loughlin and Giannulli could face up to 20 years in prison if they are found guilty. An audit is another consequence they probably didn’t want to deal with on top of that stress.