Restaurant Owner Charged with Tax Evasion Pleads Guilty in Federal Court

A Bay City area restaurant owner has pleaded guilty to tax evasion.

45-year-old Jose Costilla, who owns five restaurants around the Bay City area including Coco Loco on Euclid Avenue, was charged July 7 in federal court with filing a false tax return for the 2018 tax year, which was filed in 2019. According to court documents, Costilla only claimed a total income of $39,205, even though his income was significantly higher.

Costilla pleaded guilty in the Eastern District of Michigan U.S. Court on August 2. He will be sentenced October 13.