Dickson County Business Owner Charged with Sales Tax Evasion

DICKSON - The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the indictment and arrest of Kanakkumar Patel for sales tax evasion.  Revenue special agents arrested Patel, 29, at his place of business in Dickson.

On August 17, the Dickson County Grand Jury indicted Patel on 17 Class E felony counts of sales tax evasion.  The indictments charge that, from January 2011 through June 2011, as well as from August 2011 through June 2012, Patel failed to remit $19,629.13 in sales tax from sales at Old Columbia Market.  Bond was set at $15,000.

“Tennessee’s tax structure depends on taxpayers voluntarily complying with the laws,” Revenue Commissioner Richard Roberts said. “Taxpayers who collect but intentionally do not remit sales tax, breach the public’s trust and violate the criminal laws of the state. This case underscores our commitment to rigorous and fair administration of Tennessee’s tax laws.”

If convicted, Patel could be sentenced to a maximum of two years in the state penitentiary and fined up to $3,000 for each count of attempted sales tax evasion.

The Department pursued this criminal case in cooperation with District Attorney General Ray Crouch and his staff. Citizens who suspect violations of Tennessee's revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).

The Department of Revenue is responsible for the administration of state tax laws and motor vehicle title and registration laws and the collection of taxes and fees associated with those laws. The Department collects about 87 percent of total state revenue. During the 2015 fiscal year, it collected $12.6 billion in state taxes and fees and more than $2.4 billion in taxes and fees for local governments.  To learn more about the Department, visit www.tn.gov/revenue.

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