Sumner County Business Owner Arrested For Sales Tax Evasion and Theft
Nashville, Tenn. - The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the July 9, 2013, arrest of Kamalesh C. Patel, on charges of sales tax evasion and theft. Patel, age 36, was arrested at his business by Special Agents of the Tennessee Department of Revenue. Bond was set at $25,000.
On July 5, 2013, Kamalesh C. Patel was indicted by a Sumner County Grand Jury on 34 Class E felony counts of sales tax evasion in violation of Tenn. Code Ann. Section 67-1-1440(g) and one Class B felony count of Theft of Property over $60,000 in violation of Tenn. Code Ann. Section 39-14-103.
The indictments charge that Kamalesh C. Patel failed to report $808,707 in taxable sales and $73,154 in sales tax collected from customers of his business, First Stop Market, Gallatin, TN.
"When sales tax is collected from the public and not remitted, it is a breach of the public trust and a crime," said Revenue Commissioner Richard H. Roberts. "The Department of Revenue will aggressively pursue criminal sanctions and demands accountability for such actions."
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 sales tax evasion and a maximum of twelve years in the state penitentiary and fined up to $25,000 for theft of property.
Commissioner Roberts expressed his appreciation for the excellent cooperation the department has enjoyed with District Attorney General L. Ray Whitley 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).
In addition to collecting state taxes, over $2.0 billion of local sales and business taxes were collected by the department for local governments during the 2012 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.