Former Owner of District Marijuana Dispensary Pleads Guilty to Over $1.2 Million in Federal Tax Evasion

Source: Office of United States Attorneys

WASHINGTON – Jennifer Brunenkant, 68, the founder and former owner of Herbal Alternatives II, LLC, a marijuana dispensary licensed in the District of Columbia, pleaded guilty today in connection with her years-long failure to pay federal income and employment taxes associated with her business.

The plea was announced by U.S. Attorney Edward R. Martin Jr. and Executive Special Agent in Charge Kareem Carter of the Internal Revenue Service Criminal Investigation’s Washington D.C. Office.

Brunenkant, of Washington, D.C., pleaded guilty before U.S. District Court Judge Loren L. AliKhan to attempting to evade or defeat tax. Judge AliKhan will determine any sentence for Brunenkant after considering the U.S. Sentencing Guidelines and other statutory factors.  Brunenkant is scheduled to be sentenced on Nov. 20, 2025.

In pleading guilty, Brunenkant admitted that, from tax years 2017 to 2021, she failed to pay federal income and employment taxes that were due to the IRS in connection with substantial income she received from, and employees she had with, Herbal Alternatives II. Brunenkant further attempted to evade paying those taxes by falsely attesting on her annual Unincorporated Business Franchise Tax Forms, filed in the District of Columbia, that she had filed her federal income tax returns – when in fact she had not. Brunenkant continued trying to avoid detection when she repeatedly told law enforcement during a July 2023 interview that she had filed her returns.

At Brunenkant’s sentencing hearing the government will seek restitution of more than $1.2 million, money due for Brunenkant’s unpaid federal income and employment taxes.

This case was investigated by IRS Criminal Investigation. The matter is being prosecuted by Assistant U.S. Attorney Brian P. Kelly.

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