Following up on the recent case brought by Inland Revenue, five members of one family who own over 20 Thai takeaway restaurants have been sentenced to a combination of prison and home detention.
In addition, they were ordered to pay the total of $2.2 million in reparations after a $2.3 million tax evasion case. The family was deliberately hiding cash sales and diverting cash to private use over seven years. At one point in the trial it was stated that the family had deposited more than $9 million in their personal bank accounts.
Last week, Inland Revenue launched a fresh campaign focusing on the hidden economy in the hospitality sector which includes restaurants, cafés, bakeries, takeaway shops and liquor outlets.
While it may seem easy to accept a payment and not declare the income, ultimately it does not pay. So, if you or someone you know have been intentionally avoiding tax, it is time to come clean! The IRD announced that they will track down and prosecute businesses that knowingly are not reporting cash sales and filing incorrect income tax and GST returns.