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.
For evading $787,996 in tax, Liang was sentenced yesterday to three years and two months in jail.
Investigations and Advice Group manager Tony Morris said the Liangs showed a complete disregard of their tax obligations.
“This is right up there with the most blatant cases we have seen, “Morris said.” This couple have actively hidden significant amounts of cash sales and employee wages from the Tasty Zone Restaurant tax returns.
“We found a litany of irregularities when going through their bank accounts, proving they were using undeclared cash from the restaurant to pay for everyday expenses as well as overseas trips.”The couple kept a record of their employees’ wages in a little red notebook, and kept their accountant in the dark about their shady practices.
Investigators found the notebook during a search of their home and the restaurant on Torrens Rd.
MAJOR DISCREPANCIES WERE DISCOVERED BETWEEN THE DECLARED PAY AND ACTUAL EARNINGS WHEN ITS CONTENTS WERE COMPARED TO THE OFFICIAL PAYE RETURNS THE COUPLE FILED.
Guan Hong Liang was convicted and discharged in the Manukau District Court on lesser knowledge offenses.
No reparation order was made as the couple were being bankrupted.
“New Zealanders need to know that we will track down people like the Liangs and hold them to account,” Morris said.
“We won’t let them get away with ripping off honest, law-abiding taxpayers.”
Specials on Tasty Zone’s menu include shark’s fin with vegetables, peking duck and shark’s fin with bamboo pith soup.