In a recent turn of events, Peter Thomas, a renowned businessman and former member of the reality TV show ‘Real Housewives of Atlanta,’ has confessed to a significant tax violation case. Acclaimed for his role in the entertainment industry, and being a prominent business figure in Charlotte, Thomas has formally admitted his guilt for not accounting for and paying over $2.5 million in trust fund taxes, thereby violating federal labor law.
Thomas, aged 63, now residing in Miami, pleaded guilty to defying the United States Internal Revenue System (IRS) for the quarter ending on June 30, 2021. The omission traces back to the non-payment of trust fund taxes due on behalf of his company, PT Media, LLC.
Once a well-reputed entrepreneur, Thomas was the owner of Club One CLT, LLC, Sports ONE, Inc., Sports ONE CLT LLC, and PT Media, LLC, entities commonly referred to as “the Charlotte businesses.” These establishments functioned as sports-themed bars, restaurants, and lounges primarily based in Charlotte. Further, he also owned several clubs, bars, and restaurants in Maryland and Florida, including well-known brands such as Bar One Miami Beach LLC and Bar One Baltimore LLC.
Upon detailed investigation carried out by the U.S. Attorney’s Office for the Western District of North Carolina, it was discovered that Thomas had complete control over these businesses’ financial operations. Consequently, he was liable for collecting trust fund taxes, maintaining adequate financial records, and ensuring the proper disbursal of employment taxes by filing Forms 941 with the IRS.
Betwixt the years 2017 and 2022, Thomas reportedly collected over $640,000 in trust fund taxes from his employees’ wages through the Charlotte businesses. Surprisingly, these funds were never paid over to the IRS. An analogous pattern was noticed between 2021 and 2023 with his other businesses, Bar One Miami Beach LLC and Bar One Baltimore LLC, where over $1.1 million was collected as trust fund taxes but was not handed over to the IRS.
This chronic non-compliance across several years amounts to over $2.5 million in unpaid employment taxes, with more than $1,740,000 remaining unaccounted for from the employees’ wages. Astonishingly, court records reveal an extensive misuse of these funds. Rather than paying the due taxes, Thomas used them for real estate purchases, retail spending, travel, and cash withdrawals. Additionally, transfers amounting to more than $2.9 million were recorded between the Charlotte businesses, Bar One Miami Beach LLC, Bar One Baltimore LLC, indicating deliberate misappropriation.
After taking into account all the evidence and charges, Thomas was released on bond subsequent to his plea hearing. The tax offense carries a potential maximum sentence of five years in prison. Although Thomas has pleaded guilty, a formal sentencing date is yet to be set.
As this high-profile case unfolds, it serves as an important reminder of the legal and social obligations that business owners and corporations owe towards their employees and the IRS. Non-compliance not only leads to legal repercussions but also tarnishes the reputation and credibility of the individual or establishments in question.
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