PARAGOULD, Ark. (KAIT) – The Department of Finance and Administration shut down Trauma Hogs on Thursday for failing to pay sales tax.
Department spokesman Scott Hardin said the decision was made after the department announced its intention to close on Feb. 14.
“We want to see these businesses thrive,” he said. “We never want to see businesses shut down.”
He said the department will indicate its intention to close if a restaurant is obligated to pay either payroll withholding or sales tax.
“It's to give them one last chance to come to some kind of agreement and pay or pay in full to avoid closure,” he said.
Hardin noted that the department is trying to avoid a shutdown, and this is the last step the department will take in collecting taxes.
“If you look at Northeast Arkansas, we've issued three closure notices in Greene County this year, one actual closure, and only two in Craighead County,” he said. .
Hardin said the department is simply following state law because these taxes are critical to the state's economy.
“Our entire state budget is primarily made up of sales and income taxes. And how much we collect, and sales tax tells us about the health of our economy,” he said. Told.
Hardin said the doors could open again soon if Trauma Hog pays its outstanding taxes.
“It's always the hope that these companies can find a way to survive and then thrive,” he said.
A representative for the restaurant said “no comment” when contacted by K8 News.
A complete list of businesses at risk of closure due to DFA can be found here.
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