PARAGOULD, Ark. (KAIT) – The Department of Finance and Administration shut down Trauma Hogs on Thursday for failure to pay sales taxes.
Scott Hardin, spokesperson for the department, said the decision came after the department issued a closure intent on Feb. 14.
“We want to see these businesses thrive,” he said. “We never want to see a business closed.”
He said the department will issue closure intents when restaurants owe either payroll withholding or sales taxes.
“That’s to give them just that last chance to possibly come to some agreement, pay or pay it in full to avoid the closure,” he said.
Hardin said the department tries to avoid closures, noting that it’s the last step the department takes when trying to get its taxes.
”If you look at Northeastern Arkansas, I think this year, we’ve issued three closure letters in Greene County, with one actual closure, and just two in Craighead County,” he said.
Hardin said the department is simply following state law, as those taxes are vital to the state economy.
“Our entire state budget is comprised primarily of sales tax and income tax. And you can kind of look at the health of the economy by how much we’re collecting and sales tax,” he said.
Hardin said should Trauma Hogs pay its outstanding taxes, the door could open again quickly.
“That’s always the hope that these businesses can survive, and then find a way to thrive,” he said.
A representative of the restaurant said they had “no comment” when K8 News reached out.
A full list of businesses at risk of closing by the DFA can be found here.
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