Tax Evasion tagged posts

UK Tax Dodgers Fined 200% for Evaded Taxes

August 25, 2016 Taxation in UK

Tax Freedom DayLONDON – The UK Treasury is cracking down on international tax evaders, with newly proposed rules seeing tax dodgers fined for twice the amount of taxes that they originally skipped.

On August 24th the UK Treasury released a consultation paper proposing significantly hiked penalties for tax cheats.

Under the newly proposed rules any taxpayers with undeclared assets, incomes, or interests hidden offshore could face penalties of 100 percent to 200 percent of the taxes owed, unless they come forward and clear up their outstanding obligations by September 2018.

The new penalties will be levied on the basis that the taxpayers has “failed to correct” their tax standing with tax authorities.

Currently the fines levied for hiding assets and incomes overseas can be reduced or even wiped away ...

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UK Eyes Hefty Penalties for tax Evading Advisors

August 17, 2016 Taxation in UK

Tax BillLONDON – Advisers in the UK caught peddling illegal tax evasion schemes may soon be stung with penalties of 100 percent of the taxes they helped evade.

The UK HM Revenue and Customs has issued a new consultation documents proposing significantly harsher penalties for accountants and advisers who help their clients skip out on their tax obligations.

Under current regulations individuals and businesses who are found to have used an illegal scheme to avoid or evade taxes may be charged significant penalties, however, the advisor or accountant who actively promoted the scheme used is not liable for any penalties.

Under the proposed new rules, the offending advisor may be penalized and required to pay a penalty equivalent to the entire amount of taxes dodged.

Explaining the need for the new...

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New Zealand Goes Easier on Tax Cheats Than Welfare Frauds

June 21, 2016 Taxation in New Zealand

UK Taxman Targets Criminal OrganizationsWELLINGTON – Tax evaders in New Zealand cost the economy significantly more than people committing welfare fraud, but they are much less likely to be prosecuted or pay back what they took.

The results of new research completed at the Victoria University in New Zealand shows that tax evaders in the country are much less likely to be prosecuted than people defrauding the welfare system, despite the fact that tax evasion has a much greater cost on the economy.

In most years between 800 and 1 000 people in New Zealand are prosecuted for tax fraud each year, while over the same time only 60 to 80 people are prosecuted for tax evasion.

It is estimated that welfare fraud costs New Zealand approximately NZD 30.6 million per year, while tax evasions sets the country back by NZD 1.24 billion.

On av...

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Vatican Cracks Down on Illicit Activity

April 29, 2016 Taxation in Vatican

VaticanVATICAN – In an effort to clean up the image of the controversy-ridden Vatican bank, the city’s financial watchdog has halted millions in transfers and closed thousands of accounts over the course of 2015.

In its annual report released on April 28th, the Financial Information Authority of the Vatican revealed that over the course of 2015 it had received 54 reports of suspicious financial activities in accounts held with the Institutes of Religious Works, the bank of the Vatican.

The number of reports submitted in 2015 marks a four-fold increase compared to the previous year, when only 147 reports were filed.

However, despite the significant increase in the number of filed reports, only 17 cases were handed over to prosecutors for further investigation and action.

The reports of suspicious...

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New Zealand Drug Dealers Dodge $245 Million in Taxes

April 11, 2016 Taxation in New Zealand

MarijuanaWELLINGTON – Drug dealers in New Zealand would pay more than NZD 245 million in income taxes and GST every year, if their trade was legalized.

Late last week the Ministry of Health of New Zealand released its annual Drug Harm Index, showing the financial impacts that illicit drugs have in New Zealand.

In the report the Ministry of Health claimed that the total amount of GST and corporate income tax evaded by drug dealers amounts to approximately NZD 245.4 million dollars per year.

The total of evaded GST is approximately NZD 78.3 million, while total of corporate income tax is NZD 167.1 million.

The total tax impact of the trade of hallucinogenic was NZD 0.7 million, while opioids and sedatives accounted for NZD 0.78 million of revenues, while amphetamines was estimated to be NZD 29...

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