Paris Businessman Charged with Tax Evasion

Nashville, Tenn. - The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the indictment and arrest of Dharmesh Patel for tax evasion, theft over $10,000 and forgery. Patel, 36, surrendered to officials at the Henry County courthouse in Paris, Tenn. on Monday. Bond was set at $20,000.

Monday, Patel was indicted by a Henry County Grand Jury on 18 Class E felony counts of tax evasion, one Class C felony count of theft of property and one Class C felony count of forgery. The indictments charged Patel with failure to remit $16,482.67 in sales tax due to the state. The indictments also charge that Patel filed false sales tax returns from January 2012 through June 2013.

"The Department of Revenue promotes voluntary taxpayer compliance by educating taxpayers, aggressively pursuing criminal sanctions and demanding accountability when taxpayers engage in fraudulent activity," Revenue Commissioner Richard Roberts said. "This investigation underscores the Department's ongoing efforts to enforce Tennessee's tax laws."

If convicted, Patel could be sentenced up to two years in the state penitentiary and fined up to $3,000 for each count of sales tax evasion. He could also be sentenced up to six years and fined up to $10,000 for each count of theft over $10,000 and forgery.

The Department pursued this criminal case in cooperation with District Attorney Matt Stowe’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 and the collection of taxes and fees associated with those laws. The Department collects about 87 percent of total state revenue. During the 2014 fiscal year, it collected $11.8 billion in state taxes and fees and more than $2.3 billion in taxes and fees for local governments. To learn more about the Department, visit www.TN.gov/revenue.

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