Maryville Businessman Pleads No Contest To Sales Tax Fraud

Wednesday, October 04, 2006 | 07:00pm

NASHVILLE, Tenn. - Today Edward Dwayne Cunningham, owner of Beds To Go, pled no contest to three counts of sales tax fraud, a violation of Tenn. Code Ann. Section 67-1-1440(g). The Tennessee Department of Revenue’s Special Investigations Section conducted the investigation leading to today’s plea.

“Tennessee’s tax structure depends on taxpayers voluntarily complying with the laws,” said Commissioner Loren L. Chumley. “Taxpayers who collect but intentionally do not remit sales tax breach the public trust. This case underscores our commitment to collecting all taxes due the state of Tennessee.”



Blount County Criminal Court Judge D. Kelly Thomas granted Cunningham judicial diversion and placed him on three years supervised probation. Cunningham has already paid criminal restitution in the amount of $156,085. The Department of Revenue will seek additional civil fines and penalties from Cunningham.

Citizens who suspect violations of the Tennessee 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 established by the legislature and the collection of taxes and fees associated with those laws. The Department of Revenue collects approximately 92 percent of total state tax revenue. During the 2005-2006 fiscal year, the department collected $10.3 billion in state taxes and fees. In addition to collecting state taxes, $1.8 billion of local sales tax was collected by the department for local governments during the 2005-2006 fiscal year. Besides collecting taxes, the department enforces the revenue laws fairly and impartially in an effort to encourage voluntary taxpayer compliance. The department also apportions revenue collections for distribution to the various state funds and local units of government. To learn more about the department, log on to

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