7 Internet sales tax principles set for House consideration
Tax preparer regulation update: IRS argues its case in court, New York issues rules to implement it at state level

Dolce & Gabbana use their tax troubles as fashion inspiration

Haute couture designers Dolce & Gabbana have learned a lesson from their run-in with Italian tax authorities, but definitely not in the style of those of us who shop off the rack.

While we might have hunkered down and tried to keep a low profile as we battled the tax collector, D&G decided to flaunt riches this weekend on a Milan runway.

Dolce and Gabbana 2014 fashion gold
Click image to see video of the Milan show.

High fashion tax evasion charges: In case you don't read Women's Wear Daily or international tax journals, Domenico Dolce and Stefano Gabbana were convicted in June of failing to declare €1 billion ($1.3 billion U.S.) in income upon which Italian officials contend €343.4 million ($463 million U.S.) tax was due.

Prosecutors charged them with participating in a tax scheme involving the sale of their brands to their Gado (an acronym of their surnames) holding company. That, alleged officials, enabled them to avoid Italy's high rate by paying a lower tax in Luxembourg.

Stafano Gabbano_left and Domenico Dolce_rightEach man was sentenced to 20 months in prison and additional fines of €500,000 ($675,000 U.S.). The pair says that paying the back taxes and fines will bankrupt them.

They are appealing the conviction, with the next court hearing set for the end of the year. If they're not successful, this latest fashion show might be the duo's last show for a while, so Dolce & Gabbana decided to take advantage of it.

Coin chandelier earrings from Dolce and GabbanaCatwalk wealth: Exhibiting the same attitude as they did in July when they shut D&G boutiques for three days, posting "Closed Out Of Indignation" signs on the doors, the fashion icons highlighted wealth and money in their spring and summer 2014 collection.

The collection was inspired by Federico Fellini's 1969 film Satyricon, loosely based on the work by the Roman writer Petronius. While the main theme was ancient Italy, gold was a dominant color and coins appeared as a motif throughout. Images of ancient money were on dresses, sandals, earrings and belts.

If this line sells well and their attorneys are successful, Dolce & Gabbana could have new design inspiration. The fall fashion shows could be really fun.

You also might find these items of interest:


Feed You can follow this conversation by subscribing to the comment feed for this post.

The comments to this entry are closed.