Revenue Investigation Leads To Arrest Of Chattanooga Businessman On Sales Tax Evasion Charges
NASHVILLE, Tenn. - Charles Edward Peacock, 52, owner of C&B Package Store, 4251 Shallowford Road, Chattanooga, Tenn., was arrested by special agents of the Tennessee Department of Revenue and officers of the Chattanooga Police Department after the Hamilton County grand jury returned a 19-count indictment relating to evasion of sales tax due the State of Tennessee. Bond was set at $15,000. The investigation was conducted by the Special Investigations Section of the Tennessee Department of Revenue.
“The Department of Revenue promotes voluntary taxpayer compliance by educating taxpayers, aggressively pursuing criminal sanctions and demanding accountability when taxpayers engage in fraudulent activity,” said Revenue Commissioner Reagan Farr. “This investigation underscores our department’s ongoing efforts to enforce Tennessee’s tax laws.”
The Hamilton County Grand Jury indicted Peacock on April 26, 2007 on 19 counts of evading sales tax. The 19 counts charge Peacock with unlawfully and knowingly evading and defeating sales tax collected due to the State of Tennessee by filing false sales tax returns on behalf of C&B Package Store. The indictments charge Peacock with failing to report taxable sales totaling $223,504.28 and failing to remit collected sales tax totaling $19,915.70. Evading tax is in violation of Tenn. Code Ann. Section 67-1-1440(g), a Class E felony.
Citizens who suspect violations of the Tennessee revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).