Bookkeeper from Hayden convicted of tax evasion, grand theft

BOISE, Idaho — April 24, 2025 — A Hayden bookkeeper who embezzled money from her workplace is on probation after being convicted of state income tax evasion, perjury, and grand theft.

The Kootenai County District Court sentenced Rachel Berger to 15 years in prison, with 10 years fixed followed by five years indeterminate. The court suspended Berger’s sentence and placed her on 10 years of supervised probation along with 120 days in jail and 300 hours of community service. The court also ordered her to pay more than $70,500 in restitution to her former employer.

In 2017, Berger began working as a receptionist and eventually took on most of the business’s bookkeeping responsibilities. In 2022, one of the business owners noticed discrepancies in their financial books and credit card balances. After further review, they found Berger had used business credit cards to pay for over $162,000 of personal expenses, including rent, food, flights, hotels, and online purchases. The company received a repayment of more than $92,000.

According to the Idaho State Tax Commission, Berger willfully evaded taxes on her Idaho individual income tax returns for 2020-2022 by failing to report the embezzled funds.

“Intentionally misreporting earnings or concealing income on a tax return is fraud,” said Tax Commission Chairman Jeff McCray. “By law, taxpayers are required to include all income on their taxes—even income they get illegally.”

The Tax Commission discovers tax crime by routinely analyzing tax returns, conducting tax audits, and through tips from law enforcement, other state agencies, and the public.

To report tax crime, email the Tax Commission’s fraud unit at fraud@tax.idaho.gov or complete the online fraud referral form at tax.idaho.gov/fraud. You can choose to remain anonymous.