Comedian Carlos Mencia has been charged with tax evasion and failing to report $8.7 million in income. Mencia was arrested Thursday and remains in custody.
Los Angeles County District Attorney Nathan J. Hochman announced the felony state tax evasion charges. It is the first case filed by the DA’s newly established Business Tax Fraud Unit.
According to the complaint, Mencia allegedly failed to file any taxes for tax years 2019-2024.
“Mr. Mencia has an income most people can only dream of, and like everyone else he is required to file his personal and corporate tax returns and pay his fair share,” Hochman said in a statement. “Failing to report millions of dollars in income is a slap in the face to hardworking Californians who diligently file and pay their taxes every year because they care about their communities and the public goods, like police, fire, roads, and utilities, their tax dollars provide. Today we are sending a message to the tax scofflaws that it is no longer business as usual in Los Angeles County – the days of a free pass for failing to file returns and pay taxes are over.”
Mencia, aka Ned Arnel Holness, was charged with 12 felony counts of tax evasion: six felony counts of failure to file personal income tax with the intent to evade tax and six felony counts of failure to file corporate income tax with the intent to evade tax.
The charges correspond to each of the six years Mencia allegedly failed to file taxes on his personal and corporate income.
Arraignment is scheduled for June 22 in Department 100 of the Van Nuys Courthouse. Bail is set at $250,000.
Mencia allegedly failed to report approximately $8.7 million in personal income and corporate income tax over tax years 2019, 2020, 2021, 2022, 2023 and 2024: approximately $3.3 million in personal income and approximately $5.4 million in corporate income for his company Nedlos Entertainment, Inc. Mencia is the CEO and owner of Nedlos.
The California Franchise Tax Board mailed Mencia 78 demand notices to his residence during this period, informing him of his obligation to file tax returns and advising him that no returns had been received.
Mencia allegedly owes over $300,000 in taxes to the state of California: approximately $267,594 in personal income taxes and approximately $35,117 in corporate income taxes.
The Honduran American comedian’s Comedy Central series “Mind of Mencia” aired from 2005 to 2008. Most recently, he has done voice work on “The Proud Family: Louder and Prouder.”
If convicted as charged, Mencia faces up to 11 years and four months in state prison.
The Business Tax Fraud Unit was established in May 2026 as a specialized unit to strengthen the Office’s ability to investigate and prosecute business tax-related offenses that undermine public trust, deprive government entities of critical revenue and often exploit vulnerable individuals and businesses.
