INCOME TAXES EVADED

Taranaki Daily News, 2 August 1930, Page 10

INCOME TAXES EVADED

HEAVY FINES AT WELLINGTON. By Telegraph.—Press Association. Wellington, Aug. 1. Three charges of wilfully making false returns in relation to the income of his wife and self for the years ending March 31, 1926-27-28, were made against John Henry Garrett, and he was fined £lOO on the fiist charge. £5O on the second, and £2 on the third. Defendant and his wife were proprietors of the Astor House restaurant, A departmental officer said that an investigation from 1928 showed that there had been an underestimate of income to the extent of £2515 and / evasion of tax to the amount of £221. The income returned over the four years was £9306, whereas the true income was £11,821. The deficiency of Jucome due to wilful evasion was £2072, and the tax underpaid due- to wilful evasion £203. The method was that defendants each week paid a certain proportion of the takings into a separate account and, when ho handed the books to the accountant, he did not disclose the separate account, so a proportion of the income was suppressed each year. On four charges of failing to furnish a return Lionel Waddell was fined £5O on the first and £2 on each of the others. Defendant was stated to be employed by a firm of electrical contractors at £520 a year. Until early last year his existence was not known to the department, and he had never made a return. In the past 10 years he had earned at the rate of 505 per annum. The tax payable amounted to about £5O.

William Rowlands, who had been in business on his own account as drainlayer since 1925, and had earned more than £3OO a year, was fined £25 on a first charge and £2 on each of - two others.