KOKOMO, Ind. (Legal Newsline) – Indiana Attorney General Greg Zoeller announced a lawsuit on Thursday against the owner of a Kokomo-based tire repair store who allegedly evaded taxes and owes the state more than half-million dollars.
The Indiana Department of Revenue, represented by Zoeller’s office, filed a lawsuit against Dave Evans and Dave Evans Tire Inc. for allegedly failing to pay $550,932.92 in delinquent taxes, employee withholdings and tire fees.
“When consumers make purchases and are charged sales tax it is required that the tax money be remitted to the state,” Zoeller said. “When employees have their taxes withheld on their paychecks it is also required that this be remitted to the state. This defendant not only failed to remit taxes he collected, but shortchanged the state and other taxpayers by more than a half a million dollars.”
Zoeller’s office obtained a temporary restraining order against Evans. The lawsuit also seeks a permanent restraining order which the court will hear on Tuesday. The orders seek to prevent Evans from selling or transferring the business or disposing of any financial assets until the allegedly delinquent taxes are paid.
If the permanent restraining order is granted, the state will take legal action to obtain repayment of the funds, including liquidation of any assets or property Evans owns.
“We support small business and private enterprise, but when an individual reduces his overhead through tax evasion, it undercuts other law-abiding competitors who play by the rules, and cannot be considered legitimate commerce,” Zoeller said.
Original Story: Indiana AG says tire store owes more than $500K in taxes