A resident of Sullivan County has recently entered a plea of guilty to the charge of tax evasion, an outcome resulting from a Special Investigations Section probe within the Tennessee Department of Revenue. The investigation culminated on Wednesday with John Edward Saunders acknowledging his misuse of the tax system in regards to one count of use tax evasion.
As confirmed by an announcement on the Tennessee Department of Revenue's official website, during the proceedings, Judge William Rogers sentenced Saunders to a year on probation alongside judicial diversion, a legal maneuver allowing him to avoid a direct conviction on his record provided he meets certain conditions. Hoping to promote voluntary compliance with tax laws, the Department ensured Saunders was held accountable for the restitution owed as a consequence of his actions.
The case achieved resolution in cooperation with the District Attorney Barry Staubus’ office. Revenue Commissioner David Gerregano emphasized the importance of enforcing the state's tax laws fairly, stating, "The Department of Revenue strives to promote voluntary compliance of Tennessee’s tax laws by educating taxpayers and pursing criminal sanctions for accountability of fraudulent actors." He further highlighted that Saunders' guilty plea "underscores the department’s efforts to ensure fair administration of Tennessee’s tax laws."
Intending to safeguard Tennessee's fiscal integrity, the department actively encourages the public to report any suspected infraction of revenue laws. Concerned citizens can reach out to the tax fraud hotline, by dialing (800) FRAUDTX (372-8389), assisting the government in combating evasion. The undertaking of such cases and ensuring fair taxation plays a key role in the department's mission, which is collecting approximately 87 percent of total state revenue, as they gathered $22.2 billion in state taxes and fees during the fiscal year 2024, along with above $4.7 billion for local governments.
