A local business owner in Madison County has entered a guilty plea on multiple counts of felony tax evasion this week. According to a report from the Tennessee Department of Revenue, Derek Wood, owner of T&D's Corner Stop in Jackson, admitted to 42 felony counts related to filing false sales tax returns.
Wood, who conducted his syrupy dealings from behind the unassuming counters of a corner store, now faces the prospect of a heavy-handed sentencing scheduled for May 5, 2025. Failing to remit sales tax collected from customers, the act of deceit places him in a compromised position before the law. "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 was quoted in the revenue department's announcement. "We can never allow individuals engaged in fraudulent tax activity to have a competitive advantage over honest Tennesseans."
The consequences for Wood's transgressions are steep, with the potential of up to four years in the state penitentiary for every false sales tax return filed, weighing on his fate. Additionally, he may be looking at fines as hefty as $6,000 per count. These legal repercussions underscore the state's intolerance of tax evasion and the following penalties.
Investigations into the matter were a collaborative effort between the Special Investigations Section of the Tennessee Department of Revenue and District Attorney General Jody Pickens' Office. As the story unfolds, a hotline for tax fraud has been made available, serving citizens to call (800) FRAUDTX (372-8389) to report suspected revenue law violations. The revenue department, entrusted with collecting about 87 percent of total state revenue, continued its stride in 2024 by amassing $22.2 billion in state taxes and fees and aiding local governments with the collection of over $4.7 billion.
