Jail Time for GST Fraudster

June 18, 2009 New Zealand Taxation  No comments

Tauranga based GST fraudster has been sentenced to 18 month jail time, after admitting to 58 charges of tax evasion.

Timothy Andrew Penniket, a Tauranga based man, was charged with obtaining wage records from a company run by his mother. He is then alleged to have used these records to register 14 of the mentioned employees for GST via the internet, directing any funds to his own bank account, or one used by his associate. In total, thirty two returns were submitted by Timothy Penniket.

The Inland Revenue Department (IRD) has so far recovered $16,127 from the bank account, a further $6,501 has been made in reparation by the associate. The court has also ordered $16,387 to be repaid, totaling the amount that has yet to be recovered by the IRD.