A MONTEREY BUSINESSWOMAN HAS BEEN SENTENCED TO 14 MONTHS IN FEDERAL PRISON AFTER SHE WAS INDICTED ON FEDERAL TAX EVASION CHARGES ON MONDAY. 57-YEAR-OLD CHERYL ANN SAVAGE OWNER OF STEINBECK REAL ESTATE IN SALINAS WAS INDICTED ON THREE COUNTS OF TAX EVASION. SAVAGE CLAIMED HER HOME AS AN INVESTMENT RENTAL UNIT AFTER SELLING TWO RENTALS IN 2004 FOR 777 THOUSAND DOLLARS. SHE THEN USED THAT MONEY TO PURCHASE A RESIDENCE ON VIA DEL MILAGRO IN MONTEREY AND ON HER TAX RETURN SHE REPORTED PROCEEDS WERE USED TO PURCHASE A REPLACEMENT RENTAL PROPERTY WHICH ALLOWED HER TO DEFER PAYING CAPITAL GAINS TAX.
