Home Detention for GST Fraudster

June 15, 2009 New Zealand Taxation  No comments

Home detention has been sentenced to an Auckland based man for GST fraud.

Derek Hugh Perry was sentenced to 12 month home detention on the 3rd of June, after he was found guilty on 22 charges of GST fraud. Seemingly due to his poor health, Derek Perry was sentenced to home detention, as opposed to jail time.

In the time between May 2005 and May 2007, while based in Taupo, Derek Hugh Perry filed false returns for two businesses, of which he was the sole proprietor. The two businesses, Derek Perry & Associates Limited and Aunt Ruth’s Sauce Company, were both established by Derek Perry, but never succeeded past their initial set-up phase. Yet, regardless, Derek Perry filed tax returns for both. Derek Perry & Associates limited was subject to 13 returns, which amounted to $57,960. Aunt Ruth’s Sauce Company had 9 returns and claimed refunds of $44,421.

Derek Perry has also been ordered by the court to pay reparation to the value of $92,326, which was the total amount of GST refunds he received.