EVASION OF TAXES.

New Zealand Herald, Volume LXVII, Issue 20496, 22 February 1930, Page 12

EVASION OF TAXES.

HOTEL LICENSEE FINED £l7O,

FALSE RETURNS OF INCOME.

CONVICTION ON FIVE CHARGES

[r,v TELEGR —OWN' CORRESPONDENT, DUNEDIN. Friday.

Five charges of having wilfully made a falso return of incomes, and, alternatively, 'five charges of negligently making a false return of inconip, were preferred against Leon Curtis (Mr. W. Ward) in tho Dunedin Magistrate's Court to-day heforo Mr. H. W. Bundle, S.M. Mr. Ward said defendant intended to plead guilty to negligence, but not to wilfulness.

Mr. W. D. Taylor, who appeared for the Commissioner of Taxes, said complainant did not consider that defendant, who was tho licensee of Mcßride's Hotel, Queenstown, had beon merely negligent, but that ho had wilfully evaded his obligations. Tho chargos covered a period of five years, during which time defendant paid five soparato sums totalling £1773 17s lid into tho Post Office Savings Bank and omitted to include this amount in his income tax returns.

When questioned by tho inspector defendant had said that this amount represented refunds on returned empty bottles, crates and casks, and interest on Cook's tour coupons. Moreover, when first interviewed by tho inspector, defendant had appeared to bo considerably nonplussed when requosted to produce his Post Oflico Savings Bank book. Ho remarked that he had forgotten to mention the refunds from empties which, he said, amounted to approximately £SO a year.

Mr. Ward submitted that in the charge of wilful ovasion thero was no caso to answer.

The magistrate said tho facts revealed in tho evidence wcro clear proof of defendant's intent to defraud. Mr. Ward at this stage entered a protest against defendant's having been brought to Dunedin for tho hearing. The magistrate agreed with Mr. Ward and expressed tho opinion that the prosecution had adopted a most arbitrary procodure in insisting on the caso being heard in Dunedin.

Defendant's explanation was that he had erred through ignorance and not through any wish to evade payment of tax. Ho said that when tho inspector wished to soe his PosC Office Savings Bank book ho began to feel uneasy. Tho question had occurred to him sometimes when ho was paying into tho savings bank whether he was doing right or wrong. The magistrate said thero was no doubt that defendant had acted wilfully. Ho would bo convicted and fined £SO on the first of the charges of wilfully making a falsa return, £3O on each of tho other four charges, Court costs, 10s. and solicitor's fee. £3 3s. The fivo charges of negligently making a false return wcro withdrawn.

NO RETURNS OF LAND.

FIFTY POUNDS FINE IMPOSED. "On iho faro of it this man has evaded a. considerable amount of tax," said Mr. W. R. McKean, P.M., in the, Polico Court yesterday, when he imposed a fine of £59 on Anthony Petrie, who Mas charged with failing to render returns of land to tho Commissioner of Ta.xes for the past five years. There was no appearanco of defendant. An inspector of tho Land and Income Tax Department said defendant had not made returns for the past five years. He had possessed properties valued at £9OOO on which £SO tax each year was due, but it was not possible to determine the exact amount he held at present until he had made tho proper declarations. It was certain that tho annual tax would not be less than £2O. "We sent Petrio a. number of warnings, but received no returns from him," concluded the inspector. "It is what wo consider to be a bad case." Mr. Harrison, counsel for tho department, said be had been instructed to ask fnr a heavy penalty. The maximum fine for the. offence was £IOO and tho minimum £2.

Tho magistrate then imposed a fine of £SO.