Tax Evasion tagged posts

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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Tax Evasion a Major Problem in Italy

December 17, 2015 Taxation in Italy

ROME – Tax evasion is much bigger dilemma in Italy then previously thought, and reducing the problem by even 50 percent could create hundreds of thousand more jobs.

On December 16th the Italian employers’ organization Confindustria issued a new report claiming that the country loses as much as EUR 122 billion per year due to tax evasion.

It was claimed that tax evaders in Italy face a very low risk of being caught, with 99 percent of taxpayers facing no risk of undergoing a spot check on their tax affairs.

In its report the Confindustria claimed that if the rate of tax evasion could be cut by even half, the national economy could be boosted by approximately 3.1 percent while also generating an additional 335 000 jobs.

The largest portion of the tax evasion came from non-payment of valu...

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ATO Using School Data to Catch Tax Evaders

December 8, 2015 Taxation in Australia

CANBERRA – School rolls are the latest weapon employed by Australian tax authorities in their fight against tax evaders.

More than 100 households in Australia will be investigated by the Australian Tax Office in the near future, after authorities obtained information from several private schools about the payment of school fees from bank accounts situated in jurisdictions regarded to be offshore tax havens.

The information was collected by the ATO from 60 different schools across the country, all as part of the ongoing investigations into tax evasion.

The schools, some of which have annual fees in excess of AUD 100 000 per year, provided information on which families paid their school levies directly from offshore bank accounts.

According to the ATO, payment of such large amounts directly...

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Vietnam Shames Tax Evaders

July 24, 2015 Taxation in Vietnam

HANOI – The government is publicly naming businesses with overdue tax obligations, before resorting to taking the money directly from the offenders’ bank accounts.

The government of Vietnam is using name-and-shame tactics to coerce businesses with overdue tax obligations to pay up.

The national tax authority has issued a public list naming 600 companies with tax debts which were at least 121 days old at the end of June.

The total of the taxes owing by the delinquent businesses is approximately VND 12.658 trillion.

The new tactic has already seen moderate success with at least 10 percent of the businesses coming forward already to pay back all the overdue taxes, with even more coming forward to pay back a portion of the taxes owed.

The tax authorities are reputed to have leaked similar li...

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