Photo: RNZ / Cole Eastham-Farrelly
An Auckland tiler with a serious gambling problem has been ordered to pay $100,000 in reparation for tax fraud.
Jianbao Lin must also serve 11 months home detention and carry out 150 hours of community work, after he was sentenced in Manukau District Court last week.
Lin was convicted on 18 charges, including evading or attempting to evade the assessment or payment of GST and income tax, and knowingly providing false or misleading information to Inland Revenue to get Working for Families payments.
The judge accepted Lin had a serious gambling problem, but said the fraud was premeditated and long term. Lin had narrowly avoided a prison sentence, the judge said.
The home detention sentence would allow Lin to continue working to support his family and repay his tax debts, the judge noted.
Inland Revenue said Lin used a tax agent to file income tax and GST returns from 2009 to 2017, but from around 2015 onwards he earned income through invoicing in the name of a non-trading company, Hui Construction, and using an invalid GST number.
The invoices for Hui Construction gave the bank account of an associate, but Lin had access to the account.
Between October 2014 and March 2019, nearly $2 million was paid into that account, an IRD statement said. None of this income was declared for income tax and GST purposes.
Inland Revenue's review of Lin's personal bank accounts also showed regular cash deposits totalling $240,515 that had not been declared as income.
Through his actions, Lin evaded the assessment and payment of about $700,000 in GST and income tax, Inland Revenue said.
"The under-reporting on personal income meant he received more than $62,000 in Working for Families payments, which he was not entitled to."
Lin paid back just over $250,000 prior to sentencing.