Home / Taxes / Tax Raid on Tiny Diner. Makes Makes $1 Million a Month, Taxman Says.
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Tax Raid on Tiny Diner. Makes Makes $1 Million a Month, Taxman Says.

Written by Gary North on May 30, 2012

About half an hour south of Nashville is the college town of Murphreesboro. In the downtown are some small businesses. One of them is a diner.

State tax collectors shut it down in a raid. They were there to collect $180,000 for two months’ sales taxes. The sales tax rate is just under 10%. The owner points out that this indicates that the diner makes $1,000,000 per month.

The raiders were by law required to provide 10-days’ notice before a raid. They apparently forgot.

The owner has been in a dispute with the state about what he owes. He was given no warning of the raid.

According to the Department of Revenue’s website, there are a variety of state-issued business taxes that are required, from sales taxes to employee taxes. It is unknown what exact amount the state is attempting to collect.

“We cannot comment on the case,” said Billy Trout, communications manager for the Dept. of Revenue. “I can say that there are multiple steps that take place (prior to collections /seizure procedures), that often the propietors are let known in writing. But each case is a little different.”

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20 thoughts on “Tax Raid on Tiny Diner. Makes Makes $1 Million a Month, Taxman Says.

  1. Something fishy here for sure, more info. needed.
    I wonder if it is tied to this?

  2. US Citizen says:

    Oh, did this guy not vote for Obama, just like all the dealerships that were shut down to make the car companies more stable /solvent and 98% of the dealerships that where shut down all happened to have NOT voted for Obama too? I hope this little diner has a great tax attorney and accountant. Hopefully he can charge all his legal fees back to the government once he wins. Too bad he has to go through this.

  3. Taquoshi says:

    The owner points out that this indicates that the diner makes $1,000,000 per month.

    A solid million a month? They must have hit the lottery or their barbeque and chili is out of this world. Either way, the owners would have retired long ago.

  4. Well you know , those thousand dollar breakfast platters and ten thousand dollar hamburgers do add up quickly . And lets nof forget the fifty dollar OJ's and hundred dollar coffees . And then they do rake it in on BBQ and chili .

    I suspect some treasury angent got bad service or something and this is his revenge

  5. Max Penn says:

    I was thinking of moving to Tenn, I guess that's a bad idea.

  6. CHARLIE says:

    HEADS SHOULD ROLL!! Whoever authorized this should have to pay all the lawyer fees the owner will incur if it goes to the courts.

  7. radonna says:

    CAIR has demanded DOJ stop the injunction of the mosque construction. This is another way Holder controls citizens. You will see more of this in this community as it has become a target. State regulators are controlled by the Feds. make no mistake. Next the IRS will be there and other businesses and attacking individuals that object to the mosque.

  8. 2WarAbnVet says:

    The diner business must be pretty good.

  9. CapnOver says:

    Shame on those evil capitalists for running a going concern and making money. Don't they know it flies in the face of the communistic road mr. obama has us on? Holder should have his ass kicked up around his shoulders and then hung to drop it back down again.

  10. fighting grandma says:

    Not to mention all the lost income by the owner and the employees should also be paid!!!

  11. Bill in NC says:

    The worst tax audit our business ever was subjected to was a state sales tax audit.

    And concessions are only a minor part of our business!

  12. DoctgorBob says:

    Sounds like Tennessee must have imported the Franchise Tax Board from California. They work their math the same way in California. You're a businessman who had $20 in the till when they raided you? That must mean that you're making $200,000 per hour!

  13. They must have the best early bird senior specials in the country. Amazing and Federal/State tax collectors will do nothing about illegal aliens scamming taxpayers to the tune of $4.2 billion dollars yearly. Thanks, Senator Reid for shelving the bill to end the use of the ITIN card. Now illegals can continue to collect for ten kids living in Mexico. Upside down world.

  14. Just one more way to put another small business out of business. Enough put out of business and the government takes control of all business. We, my friends, are doomed unless we can turn this country around morally and politically. I, however, think it is too late because there are too many liberal robots churned out by the schools and too many apathetic individuals who expect others to carry the load.

  15. When did somebody start opening those boxes of idiots? They're running all over the place now. Yes, Joe C, it's now an upside-down world…..lunacy on the top, intelligence on the bottom.

  16. Somewhere, some bureaucrat is saying, "Ooh! I KNEW I forgot something important. What was it?"




  18. And it should come out of the paychecks of those who authorized this raid! Might make them think twice before doing it to someone else!

  19. Jeez. The same gummint bureaurat that sets bids for the DOD (the $300 dollar hammer and the $100 toilet seat) must have set the prices for their menu.

  20. Maybe THAT'S the problem. No halal-compliant food. The rags are pissed, so Holder has to placate the goat humpers.