News Headlines

State Seizes Park City Restaurant

Reporter: Phil White

Wednesday, August 22, 2012

A Park City restaurant has been seized by the State of Kansas for not paying more than $50,000 in state income sales taxes, a spokeswoman for the Kansas Department of Revenue said Wednesday.

State agents were removing items from El Azteca Restaurant, 1540 E 61st Street North, Wednesday afternoon.

Jeannine Koranda, the department's spokeswoman, told KAKE News agents with the Department of Revenue and the state's Alcoholic Beverage Control seized the business at 10 a.m. Tuesday. She said business owner owes the state $50,285.53 in retail sales taxes.

When the state seizes a business, Koranda said, it takes possession of all bank accounts, on-site cash, business inventory and personal property. Those items are then sold at auction in attempt to recover the money owed.

"This isn't something we aim to do," Koranda said. "They've gone through multiple steps to get here."

Koranda said business seizures only occur as a last resort after all attempts to recover the money, such as setting up a payment plan, fail.