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Sephora Settles Serial Whistleblower’s Indiana Tax Suit (1)

May 8, 2019, 7:42 PM; Updated: May 8, 2019, 8:47 PM

Makeup company Sephora USA Inc. is covering an alleged corporate tax remittance blemish with a settlement to end an Indiana Attorney General lawsuit.

Sephora is paying Indiana $159,349 to settle allegations that it violated the Indiana False Claims Act, the state attorney general announced May 8. The company is also paying $225,651 to the whistleblower that initiated the lawsuit, which alleges Sephora made false statements in connection with its failure to collect Indiana’s 7 percent gross retail tax on shipping and handling charges for Internet sales to Indiana consumers.

A 2016 whistleblower compliant alleges the company failed to collect the...

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