30 December 2011
Due to inaccurate output tax amounts submitted to IRAS in 2005 and 2006, Unusual Entertainment Pte Ltd (“UEPL”) was found guilty of understatement of $502,922.27 in GST, resulting in a penalty of $601,632.72 and a fine of $10,000.
Although there were vide variations in the final tally, sales figures submitted by UEPL vis-a-vis output tax amount submitted for 2005 and 2006 had been left unchecked. For eg. in 2005, the sales revenue in the income tax return was $9,136,361, against the $2,810,668 declared as total sales in their GST returns.
A guilty plea was recorded for four charges of under-declaration of GST without reasonable excuse. Four remaining charges were taken into consideration for sentencing.
Source: This article was extracted from the Inland Revenue Authority of Singapore (IRAS) website. Visit http://www.iras.gov.sg/ for more information.