HOLTON, Kan. (AP) A convenience store on the Prairie Band Potawatomi reservation in northeastern Kansas has been shut down for what the state says is failure to pay more than $1.7 million in sales tax.
The Topeka Capital-Journal reports that state revenue agents and Jackson County sheriff’s officers began seizing the assets of Kathy’s General Store near Holton on Tuesday morning.
The Revenue Department says it seized all known bank accounts, on-site cash, business inventory and personal property assets of Kathy’s Inc. and owner Kathy L. Kaul Kennedy.
Kaul Kennedy has challenged the state’s authority to collect various types of taxes on the reservation for more than two decades.
Revenue officials say Kathy’s Inc. owes roughly $1.35 million from October 2005 to September 2009, and about $375,000 from October 2009 to September 2010.