Company Convicted Of Withholding Wages Tax

Press, Volume XC, Issue 27498, 4 November 1954, Page 7

Company Convicted Of Withholding Wages Tax

Linocrafts, Ltd., was convicted and fined £5 by Mr L, N. Ritchie in the Magistrate’s Court yesterday on each of two charges of deducting wages tax from the salary and wages of employees under the Social Security Act, 1938, and using the money for a purpose other than the payment of the tax to, the Inland Revenue Department. The company pleaded guilty to each charge. Mr P. T. Mahon prosecuted for the Commissioner of Inland Revenue. Mr B. McClelland represented the defendant company. < Mr Mahon said that this was not the first occasion the department had had difficulty with the company. In 1952 the company’s affairs had been investigated and a deficiency of more than £BOO in the payment of wages tax was found. The explanation (accepted) was that the company hatf paid the tax by means of stamps affixe'd to a book which had been lost. After that the company paid wages tax by cheque. When the affairs of the company were again investigated last July it was found that £402 17s 9d had been deducted for Wages tax from April 1, 1953, but no payment had been made, said Mr Mahon. In a letter to the department the company’s secretary explained that in a shifting of premises business practices had been overlooked.

What had happened in -1952 had nothing to do with the present charges, said Mr McClelland. The company had not wilfully used tax money for another purpose. The money had been kept to one side and yras paid on demand in July when the account was received from the department. To the Magistrate, Mr, McClelland said that a penalty of 10 per cent, of the amount owing had been imposed and paid at the time. Mr McClelland asked that the charges relating to periods from April 1, 1951. to July 21. 1954 (wages tax deficiency of £l6l 4s lid), and April 1. 1953, te March 31, 1954 (deficiency nf £241 12s lOd) to be taken as one offence. The Magistrate refused the request INSUFFICIENT RECORDS

William Wallace Olliver, a fish merchant (Mr D. W. Russell), pleaded guilty and was convicted and fined £lO. and costs on a charge that from April 1, 1951, to March 31, 1952, he failed to furnish Information of his assets when required by the Commissioner of Inland Revenue (Mr P. T. Mahon). He also pleaded guilty and was convicted and fined £5 and costs on each of two charges of failing to keep records to enable assessable income and liable deductions to be ascertainable by the Commissioner. Mr Mahon said that the Inland Revenue Department had been told by Olliver that he was too busy to keep proper records. His accountants had done their best to file returns on meagre information, ft sum of £B6OO was represented 6y blank cheque butts and £3OOO in a cheque book which was missing. ' . The charges were the first m Christchurch and possibly in New Zealand, said Mr Mahon. „ * 'They are the first I have seen,” said the Magistrate. NO TAX RETURN

Lennard Charles Maffey, a labourer, of Kaikoura, was charged with failing to make a return of income tor the year ending March 31, 1953. Maffey, who did not appear, was convicted and (fined £3 and costs. ! LEFT RUBBISH ON ROAD M. C. Palmer, who did not appear, was convicted and fined £2 and costs on a charge of leaving rubbish on Port Hills road on August 29. Mr R. B. Shand, who prosecuted for the Heathcote County Council, said that the offence was a serious one and the case should act as a warning that the council’s roads were not suitable dumping places. Robert William Morris, clerk to the council, said he received a telephoned complaint that rubbish was_ being dumped from a car and trailer on the Port Hilts road. He found the defendant, who • later wrote apologising to the council for his action. “I will take into consideration that the defendant removed the rubbish to the proper place later.” said the Magistrate imposing the fine. REMANDED

Richard Murphy, a labourer, aged 21 ’ (Mr J. G. Leggat) was charged that on September 17 he stole a jacket, a pair of trousers and a pair of shoes valued at £l4, the property of Robert Phillips. He was remanded to November 24 on the application of Mr Leggat. Bail was fixed in the sum of £5O in accused’s own recognisance. He was ordered to report daily to the police. Detective-Sergeant G. C. Urquhart apneared for the police. James McEnteer Harbidge, a salesman (Mr R. S. D. Twyneham) was remanded to November 8 on a charge that on November 2 he drove a motorcar in Fitzgerald avenue while under the influence of drink. Bail was renewed at £25 in accused’s own recognisance. Senior-Sergeant A. B. Collmge appeared for the police. PERMITTED NUISANCE Jean Dorothy Hill, a married woman, pleaded not guilty to a charge that on September 4 she allowed a nuisance to arise on land surrounding a dwellinghouse. She was convicted and fined £5 and costs. Mr W. K. L. Dougall represented the Waimairi County Council, which prosecuted. Defendant Was represented by Mr H. W. Hunter. Mr Dougall said that the offence was alleged to have occurred at defeadanta homa at 48 Brodies road.

The district was not on the sewer and outside privies had to be used. The Magistrate said the evidence showed a disgusting state of affairs. ADJOURNED K. P. F. Neill, a farmer, of Little River, was charged with discharging a shotgun at a cow belonging to W. S. L. Rae on July 8 and causing unnecessary suffering to the animal. The case was adjourned to December 1 on the application of G. A. Melrose (Mr D. W. Russell), who prosecuted. Emmet Joseph O’Connor, a building, contractor, was charged with applying £197 3s lOd deducted from employees’ wages for a purpose other than the payment of wages tax during a period, from January 23, 1952, to June 23, 1954. The case was adjourned to November 10. John Johnston, of Brooklands (Mr B. McClelland) was charged that from January 23. 1952, to June 23, 1954. he applied £587 13s 9d for a purpose other than wages tax for which it had been deducted from his employees’ wages. The case was adjourned to November 11. Harry Lucas Wilson, a mercer, was charged with failing to furnish returns of income for the year ended July 3, 1953. The case was adjourned to November 17. David Ernest Woodill, a farmer, of Akaroa, was charged with failing to furnish a return of income for the year ended March 31, 1953. The case was adjourned to November 17.