Tipton County Business Owner Indicted for Failing to Remit Tax, Falsifying Vehicle Registrations, Tax Evasion and Theft
COVINGTON, Tenn. - The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to the indictment and arrest of David Aaron Whaley, owner of Whaley’s Auto Repair and Towing. Today, Whaley, 38, surrendered himself at the Tipton County Jail. Bond was set at $50,000.
On Monday, November 5, 2018, the Tipton County Grand Jury indicted Whaley on a 98 count indictment. Charges included three felony counts of theft of property over $10,000, 63 counts of failure to remit collected sales tax, one count of tax evasion, 14 counts each of falsifying vehicle registrations and forgery, and three counts of falsification of a tax-exempt form. These charges stem from failing to remit collected tax from customers at his business and for providing false documents in relation to motor vehicle registrations.
“The Department of Revenue has always been committed to making sure Tennessee’s tax laws and procedures are applied uniformly to ensure fairness,” Revenue Commissioner David Gerregano said. “We can never allow individuals engaged in fraudulent tax activity to have a competitive advantage over honest Tennesseans.”
If convicted, Whaley could be sentenced to a maximum of six years in the state penitentiary and fined up to $10,000 for each charge of theft. He could be sentenced up to two years and fined up to $3,000 for each charge of failing to remit tax, tax evasion, falsifying vehicle registrations, and falsification of a tax-exempt form, and forgery.
The Department is pursuing the criminal case in cooperation with District Attorney Mark Davidson’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, as well as the collection of taxes and fees associated with those laws. The Department collects about 87 percent of total state revenue. During the 2018 fiscal year, it collected $14.5 billion in state taxes and fees and more than $2.8 billion in taxes and fees for local governments. To learn more about the Department, visit www.tn.gov/revenue.