Tax evasion

Since 2010 the government has secured and protected over £185 billion of tax that would otherwise have gone unpaid, and introduced over 100 measures to crack down further on avoidance, evasion, aggressive tax planning and unfair outcome

Budget 2018 has announced that the government will publish a call for evidence in relation to ESS. This means that HMRC are looking to update their methods of monitoring and taxing profits of businesses to ensure they keep pace with the evolving technologies taxpayers utilise.

The Australian Tax Office announces its plan to protect honest businesses from tax evaders, especially focused on those advertised as “cash-only”.

Focus of the investigation is on those businesses who:

• operate and advertise as ‘cash-only’
• are part of an industry where cash payments are common
• indicate unrealistic income relative to the assets and lifestyle of the business and owner
• fail to register for GST or lodge activity statements or tax returns
• under-report transactions and income according to third-party data
• fail to pay employment duties
• operate outside the normal small business benchmarks for their industry
• were reported by the community as potential tax evasion.

This effort can support with evidence found that anti sales suppression system is necessary to be put in place in the near future.

John Yin of Everett has admitted to fraud and conspiracy charges and agreed to pay more than $3.4 million in restitution after selling software that helped restaurants hide cash sales to reduce their tax payments.

He pleaded guilty in U.S. District Court in Seattle on Friday to one count of wire fraud and one count of conspiracy to defraud the government.

Restaurateur Zai Jian Liang, who runs Tasty Zone Restaurant in East Tamaki, filed 113 incorrect tax returns between 2009 and last year.

An Inland Revenue investigation found Liang and his wife Guan Hong Liang failed to declare more than $1 million in cash sales and about $500,000 in PAYE.

The couple also fraudulently claimed $30,000 in Working for Families tax credits.

Late last year, Mr. Slim Chaker, Tunisian Minister of Finance, announced the changes with the introduction of the fiscal law for the year 2016: “Several decisions will be taken in the year 2016 to fight against tax evasion, including the adoption of cash registers in cafes, restaurants and hotels, to get true amount of sales.” Cash registers should be directly linked to the Ministry of Finance.

The idea is, according to the Minister of Finance to “put pressure on fraudsters and to prompt Tunisian consumer to demand its receipt.”

After 236 days of resistance from the opposition parties, the ruling coalition voted in Czech parliament’s lower chamber, new fiscal law named EET / Electronic Evidence of Taxes /, which regulates the cash sale of goods and services. Now it must be approved by the Senate and signed by the president of the Czech Republic. In the Senate, the ruling coalition has a majority and president Milos Zeman was in favor of this law from the beginning.

Opposition parties are not satisfied with the way it came to this decision, they will make its protest at the Constitutional court. “The law was violated as debate was stopped, many members could not come out and express themselves, ” opposition said at a press conference.