‘RHOA’ Alum Peter Thomas Sentenced to 18 Months in Prison for Tax Evasion!
Real Housewives of Atlanta alum Peter Thomas was sentenced to 18 months in federal prison for failing to pay more than $2.5 million in payroll taxes.
The sentencing took place Thursday in a U.S. District Court in Charlotte, North Carolina, with Judge Kenneth D. Bell Sr. presiding.
Sentencing details
In addition to the prison sentence, Judge Bell ordered Peter Thomas64, must be on supervised release for two years after his incarceration and pay compensation for unpaid taxes. Peter had pleaded guilty in June to one count of failure to pay trust fund taxes.
Tax evasion program
Between 2017 and 2023 Peter owned and operated several companies including Club One CLT, Sports ONE, Sports ONE CLT, PT Media, Bar One Miami Beach and Bar One Baltimore. During this period, these businesses paid no payroll taxes, including withholding more than $1.7 million from employees’ paychecks. Instead of sending these funds to the Internal Revenue Service (IRS), Peter used the money for personal expenses.
Argument of the prosecution
Assistant U.S. Attorney Caryn Finley argued for a prison sentence of at least two years, emphasizing this Peters The measures were driven by greed and a blatant disregard for tax laws. Finley explained Peter used the embezzled funds to “enrich himself personally and to expand and support his other business ventures,” including spending over $250,000 on luxury items from brands such as Prada, Louis Vuitton and Givenchy.
She further pointed out that while individuals can spend their money as they wish, they “cannot steal other people’s money – in this case, their employees’ payroll taxes – to support their otherwise failing business ventures.”
Defense plea
Peters Attorney C. Melissa Owen asked for a lighter sentence of one year and one day, emphasizing Peter remorse and his positive reputation in the community. Owen described her client as “incredibly remorseful for failing to pay trust fund taxes,” citing his reputation as a supportive father, loyal brother and son. She also mentioned that Thomas has used his social media platform to educate small business owners about the importance of meeting IRS obligations.
Statement from Thomas
Before sentencing Peter took to Instagram to address his situation, admitting his wrongdoing and expressing his willingness to “face the music” after pleading guilty to tax charges. He reflected on the 50th anniversary of his arrival in the United States and remarked, “I didn’t think I would celebrate it like this.” Peter also advised other business owners, emphasizing the importance of prioritizing payroll taxes over other expenses to avoid legal consequences.
background
Originally from Kingston, Jamaica, Peter moved to the United States as a child and grew up primarily in Brooklyn, New York. He has managed and owned restaurants and nightclubs for nearly four decades and gained national recognition for his appearances on “The Real Housewives of Atlanta” alongside his then-wife, Cynthia Bailey.
Legal implications
Failure to pay payroll taxes is a serious federal offense because employers are charged with withholding taxes from employees’ wages and remitting them to the IRS. Misappropriating these funds not only violates tax laws, but also jeopardizes employees’ future Social Security and Medicare benefits. Peter The conviction serves as a warning example to entrepreneurs about the serious consequences of neglecting tax obligations.
For more detailed information, see the official press release from the U.S. Attorney’s Office for the Western District of North Carolina.
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Avigail is an entertainment blogger at All About The Tea, specializing in The Real Housewives of Atlanta and The Real Housewives of Potomac. Avigail has a background in marketing. She is from Brooklyn and lives in the Bahamas. She has a passion for travel, writing, reality TV, pop culture and spoken word.