Former Sevier County Business Owner Pleads to Sales Tax Fraud
Wednesday, December 17, 2008 | 03:14am
SEVIERVILLE, Tenn. – The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the indictment and subsequent best interest plea of Lindsey Charles Tibbetts to six felony counts of sales tax fraud.
Tibbetts, former owner of The Open Hearth Hotel, Inc. and Stadium Foods, Inc., was ordered to pay restitution to the state in the amount of $22,044.31 for the amount of sales tax he collected but intentionally did not remit to the state from Oct. 1, 2002 through Jan. 31, 2004. He was also ordered to perform 50 hours of community service and was placed on unsupervised probation for six years.
“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 District Attorney General Jimmy Dunn’s Office. 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 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 2007-2008 fiscal year, the department collected $11.2 billion in state taxes and fees. In addition to collecting state taxes, $1.9 billion of local sales tax was collected by the department for local governments during the 2007-2008 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 www.Tennessee.gov/revenue.
Related news: Dec. 2, 2008 – Former Sevier County Business Owner Arrested for Sales Tax Fraud(http://news.tennesseeanytime.org/node/659)
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