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2 jailed for tax evasion

September 26, 2016

A 50-year-old couple were jailed for up to 10 weeks today for evading salaries tax.

 

They were convicted at Tsuen Wan Magistracy on September 14 after pleading guilty to six counts of making false statements in tax returns.

 

The woman defendant, a former human resources director, claimed for home loan interest deductions for two properties, with one jointly owned with her spouse and the other solely owned by her, from 2005-06 to 2010-11.

 

She also claimed deductions for self-education expenses from 2006-07 to 2010-11.

 

She failed to produce sufficient evidence to support her deduction claims and the Inland Revenue Department found her jointly-owned property’s mortgage was released during the years of assessment.

 

While the actual mortgage interest for her solely-owned property and the self-education expenses she paid in the period were less than that she claimed.

 

The total amount of the false deduction claims for the six years was $875,181 and the total tax evaded was $116,941.

 

She was sentenced to 10-weeks' jail.

 

The male defendant, who is a senior leasing manager, also made false statements in connection with claims for deduction of home loan interest and self-education expenses deductions from 2005-06 to 2010-11.

 

The total amount of the false deduction claims for the six years was $351,115 and the total tax evaded was $41,384.

 

He was sentenced to three-weeks' jail.



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