Jail For Fraudulent Gst Refunds & Illegal Phoenix Operators
A Gold Coast property developer has found himself in hot water after fraudulently obtaining $147,000 in GST refunds, costing him a 3 year jail sentence and a terrible reputation. The property developer was a director of Share Water Developments Pty Ltd and in that capacity lodged 8 Business Activity Statements (BAS) with false expenses.
During the course of an audit the ATO found that the expenses claimed in the BAS were never incurred.
The director had attempted to obtain a further $76,000 in fraudulent refunds but the ATO did not process those claims.
A win for tax payers and any businesses trying to compete on a level playing field - three men have been sentenced to jail for conspiring to defraud the Commonwealth out of $4.6m. The so called “architect” of the scheme copped an 8 year stretch while his two off-siders received 4 and 5 years respectively. They were also required to pay compensation equal to the amount defrauded.
The scheme arose out of the failure of multiple labour hire companies who failed to remit GST and PAYG. A string of companies was involved and the evidence was that over a 25-month period the offenders withdrew some $23m in cash form company bank accounts with no funds left to meet ATO liabilities. Often shadow directors were appointed to the companies.
Don't find yourself in hot water, contact our expert team at Barrett Walker to assist you with any of your business needs.