MEMPHIS, Tenn. — The former owner of a downtown Memphis restaurant was arrested Thursday on charges stemming from sales tax theft and fraud, the Tennessee Department of Revenue (TDOR) said Friday.
The Special Investigations Section of the TDOR conducted the investigation that led to the indictment and arrest of John Harris, former owner of Double J Smokehouse and Saloon located at 124 GE Patterson Avenue in Memphis.
Harris, 55, was booked into the Shelby County Jail on Thursday, and he was released on a $10,000 bond later that day.
On December 15, 2022, a Shelby County Grand Jury indicted Harris on a Class B felony count of theft of property over $60,000, related to not reporting sales tax to the state.
If convicted, Harris could be sentenced to a maximum of 12 years in the state penitentiary and fined up to $25,000 for the theft charge.
“Investigations, such as this one, should warn retailers that failing to properly remit all the sales tax monies they collect is a crime, “said Revenue Commissioner David Gerregano. “The taxes collected from customers are property of the state and local governments at all times. Customers have a right to know that the tax they pay will be remitted to the state and used for public good of all Tennesseans.”
The Department pursued this criminal case in cooperation with Shelby County District Attorney Steven Mulroy’s office.
TDOR said people who suspect violations of Tennessee's revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).