'RHOA' alum Peter Thomas sentenced to 18 months in federal prison after pleading guilty to tax fraud
The tax fraud case involving Peter Thomas has been settled. 'The Real Housewives of Atlanta' star pleaded guilty to tax fraud and was sentenced to 18 months in jail on Wednesday, December 18, according to The Neighborhood Talk.
Peter, Cynthia Bailey's ex-husband, will serve two years of supervised release and pay $2.5 million in reparations after his sentence. After The Baltimore Banner revealed that a federal prosecutor's document on Peter's case sought to support a jail term on December 10, Peter was sentenced.
Peter Thomas failed to pay over $2.5 million in employment taxes
Peter, who owns Bar One restaurants, was charged with failing to pay employment taxes for his companies. Instead, he allegedly spent $250,000 on luxury items from Givenchy, Louis Vuitton, Prada, Neiman Marcus, and other stores, totaling just under $375,000.
Over several years, Peter's blatant disregard for federal payroll tax obligations unfairly enriched himself and his businesses by over $2.5 million, depriving the federal government of funds essential for providing employees with retirement and disability benefits. $1,740,000 in trust fund taxes he received from employee salaries were also included in this amount.
The entrepreneur was "motivated by greed," according to the sentencing statement, which also claimed that Peter violated the tax regulations by growing his company, adding more sites, hiring more staff, and raising expenses at the cost of his legal responsibilities. After being charged with dodging taxes for a number of his enterprises from 2017 to 2023, Peter also entered a guilty plea to failing to pay trust fund taxes in the summer.
Peter Thomas warns small business owners ahead of sentencing
In a video released the day before his sentence, the reality star stated that he was ready to "face the music." On the 50th anniversary of his arrival in the United States, Peter announced poignantly.
Peter advised other small business owners to learn from his mistakes. He appeared content with the outcome and willing to accept the consequences of his actions. This is not his first legal trouble, as he was previously arrested for DUI.
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Peter Thomas split from 'RHOA's Cynthia Bailey
The third season of Bravo aired the ceremony in which Peter and Cynthia exchanged vows in 2010. After six years of marriage, Peter and Cynthia separated in 2016, and their divorce was formally finalized in 2017.
