Sole proprietor jailed for evading taxes
POSTED: 12 Apr 2013 4:23 PM
A sole proprietor was sentenced to six months' jail and ordered to pay a penalty of $563,537.88 for omitting his business income from his income tax returns.
The Subordinate Courts building in Singapore (photo: Francine Lim, channelnewsasia.com)
SINGAPORE: A sole proprietor was sentenced to six months' jail and ordered to pay a penalty of $563,537.88 for omitting his business income from his income tax returns.
Kong Kim Soon, 59, the sole proprietor of Catalyst Technologies, pleaded guilty to three charges of omitting business income from his income tax returns with the wilful intent to evade tax.
Three other charges were taken into consideration.
If Kong is unable to pay the penalty, he would have to serve another six months' jail.
Investigations by the Inland Revenue Authority of Singapore (IRAS) revealed that Kong had omitted business income as the sole proprietor of the company from his income tax returns for the Years of Assessment (YA) 2006 to 2008, with the wilful intent to evade tax.
IRAS said the total sum of omitted business income over three years amounted to $1,034,984.35.
Kong had been undercharged a total of $187,845.96 in taxes for the YA 2006 to 2008.
IRAS said Kong was aware that the company had been making profits in those YAs but he had failed to declare the profits from the company in his income tax returns.
It added that the omissions were uncovered as a result of regular IRAS audits conducted on businesses.
- CNA/de
