Knox County Business Owner Sentenced on Sales Tax Evasion Charges

NASHVILLE, Tenn. - The Tennessee Department of Revenue’s Special Investigation Section conducted the investigation that led to the indictment and subsequent nolo contendre plea of Kenny C. Owen on 10 counts of sales tax evasion. On May 22, 2008, Owen, owner of Micko’s, 5210 Shubert Road, Knoxville, Tenn., was granted judicial diversion and sentenced to three years unsupervised probation.

Owen was ordered to pay $30,435.54 in restitution to the state for unpaid sales tax. Owen failed to declare taxable sales of $329,143.21 and failed to remit $30,435.54 in sales tax collected at his business from Jan. 2003 through June 2005. Additionally, civil taxes, penalties and interest will be due the state.

“The Department of Revenue is committed to applying Tennessee’s tax laws and policies uniformly to all taxpayers to ensure a level playing field,” said Revenue Commissioner Reagan Farr. “The department cannot and will not allow people engaged in fraudulent tax activities to have a competitive advantage over honest businesspeople.”

This case was pursued criminally by the department in cooperation with Knox County District Attorney General Randall Nichols’ Office. Citizens who suspect violations of Tennessee’s revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).