Man Convicted of GST Fraud, for Second Time
June 10, 2009 New Zealand Taxation
An Auckland man has been convicted to 15 month of jail time for GST fraud.
Auckland based Graham Ashley Robert Palmer, has been sentenced to 15 month in jail for his GST fraud. He has already served jail time for previous GST fraud in 1988, the offense amounted to $2.6 million of fraud.
In this case, in the August of 2006, Graham Ashley Robert Palmer submitted an electronic GST return for a company for whom he is the only shareholder, Rexon Ltd. It contained purchases of $650,000 and garnered a return of $81,250. In the following month additional purchase invoices were faxed in, reporting an additional $731,250 in purchases, with $91,406.25 of refunds. The invoice company is owned by an associate of Graham Ashley Robert Palmer.
Upon audit, the IRD found that the materials and purchases stated in the invoices was either overstated or non-existent.