NEWPORT-The Tennessee Department of Revenues Special Investigations Section conducted the investigation that led to the indictment, arrest and guilty plea of Patsy Ann Quinton, age 56. On Nov. 17 Quinton, owner of Pats Bar and Grill in Newport pleaded guilty to 36 Class E felony counts of Sales Tax Evasion.

Quinton was sentenced tofour years in the state penitentiary, but her sentence was suspended and she was placed on four years of probation. As a condition of her probation, Quinton was also ordered to pay $14,773.07 in restitution to the state for unpaid sales tax collected from Jan. 1, 2005, through Dec. 31, 2007.

The majority of businesses pay appropriate taxes, said Revenue Commissioner Reagan Farr. This case serves as a warning to others who think they can get away with tax fraud in Tennessee. We will continue to pursue criminal activity and prosecute tax evaders to maintain fairness in our tax structure for Tennesseans.

This case was pursued criminally by the department in cooperation with District Attorney General James Dunn'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 established by the legislature and the collection of taxes and fees associated with those laws.

The Department of Revenue collects approximately 92 percent of total state tax revenue. During the 2008-2009 fiscal year, the department collected $10.2 billion in state taxes and fees. In addition to collecting stat taxes, $1.9 billion of local sales tax was collected by the department for local governments during the 2008-2009 fiscal year. Besides collecting taxes, the department enforces the revenue laws fairly and impartially in an effort to encourage voluntary taxpayer compliance. The department also apportions revenue collections for distribution to the various state funds and local units of government. To learn more about the department, log on to www.TN.gov/revenue.