GST Fraud Conviction For Property Developer
July 6, 2009 New Zealand Taxation
The Wellington District Court has sentenced a man for eight counts of GST fraud.
Gary Adrian Koornneef, a Paraparaumu based property developer has been sentenced to 12 month home detention for his GST fraud. It was alleged that over the period covering September 2002 to September 2005, Gary Koornneerf sold a total of eight properties but failed to pay the appropriate GST on them.
In the June of 2001, a property was purchased by Advantage Construction and Consultancy Limited (“Advantage”), Gary Koornneef’s own company. This property was later developed and sold as a set of three subdivisions. In the July 2002 a property was purchased and later divided into five subdivisions, all of which were sold. There was no GST payment on any of these. Although, four were not filed the other came as a “Nil” return.
Gary Koornneef was open about the fact that he did not pay the returns, and instead sued the money to settle previous debts. In total, the fraud amounted to $233,500.01. This amount has been ordered to be paid back.