Former Greene County Businesswoman Arrested on Tax Fraud Charges
Wednesday, April 01, 2009 | 11:09am
GREENEVILLE, Tenn. – The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the indictment and arrest of Porshia Pauline Cutshaw on sales tax evasion charges. Cutshaw, age 56, was arrested on March 31, 2009, by deputies with the Greene County Sheriff’s Department.
On March 23, 2009, the Greene County Grand Jury indicted Cutshaw on six Class E felony counts of Tax Fraud in violation of Tenn. Code Ann. 67-1-1440(g). The indictments charge her with filing false and fraudulent sales tax returns for the period January through June 2006 that resulted in unreported sales tax totaling $16,249.43.
“When sales tax is collected from the public and not remitted, it is a breach of the public trust,” said Commissioner Reagan Farr. “The Department of Revenue aggressively pursues criminal sanctions and demands accountability for such actions.”
Bond was set at $10,000. If convicted, Cutshaw could be sentenced to a maximum of two years in the state penitentiary and fined $3,000 for each Class E felony count. Additionally, civil taxes, penalties and interest will be due the state.
This case was pursued criminally by the department in cooperation with District Attorney General Berkeley Bell’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.TN.gov/revenue.
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