2007 media releases
Dairy owner in court for cheating on taxes over seven years
9 March 2007
Inland Revenue has welcomed the six-month jail sentence imposed on the owner of the Dinsdale Dairy, prosecuted for hiding details of the Dairy's true turnover.
Minesh Kumar Patel, aged 40, ran the Dinsdale Dairy in Dinsdale Road, Hamilton. He had earlier pleaded guilty to 39 charges of wilfully filing false returns for GST, Income Tax, and Family Support, from 1998 to 2004. The total sum of tax evaded was $142,195.
In the Hamilton District Court today (Subs: Friday 9 March) Mr Patel was sentenced to six months jail on each of the 39 charges, to be served concurrently. He was granted leave to apply for home detention.
The court had earlier heard that Mr Patel and his wife set up a partnership in September 1997, and first leased a dairy in Auckland, before buying the Dinsdale Dairy in December 1999. They also bought the Top of The Town Dairy in Te Awamutu in October 2002, selling it in December 2004.
At the first interview with Inland Revenue Mr Patel made a partial disclosure that he had deposited takings from the dairy into his home loan account to reduce his mortgage and that he hadn't declared that income in his tax returns. At a later interview he admitted to the findings of the investigators that he had in fact failed to declare $365,055 from the various dairies' takings in his tax returns from the time he started business in Auckland.
Neil Lewer, of Inland Revenue, said it is a myth that tax fraud is a victimless crime.
"Taxes fund schools, hospitals, roads and other community resources. People who rip off the system are stealing from the community," said Mr Lewer, Hamilton Area Manager Investigations.
The tax system in New Zealand relies on honesty and ethical behaviour from taxpayers.
"When someone evades tax it makes it very difficult for honest businesses to compete."
Anyone having trouble paying their tax should contact Inland Revenue, said Mr Lewer.
"The first thing you should do is file your returns, even if you can't pay the tax owing. In most cases, we can arrange for you to pay your tax by instalments over a period of time."
For further information contact:
Alison Welch
027 243 6970
Other media releases this year
- Draft guidelines released for new R&D tax credit
- Man extradited from Australia to face tax charges
- Working for Families Tax Credits to be made early
- Inland Revenue alerts tax professionals
- 'Money man' behind major tax scam jailed
- Third conviction in Rawleigh tax evasion case
- Samoan chief receives two years' home detention
- Early working for families tax credits scheduled
- Cash businesses are in the spotlight
- Inland Revenue transfers first KiwiSaver funds to scheme providers
- Late filers advised to contact Inland Revenue
- Wellington Inland Revenue staff to centralise
- Christchurch businessman fined $20,000 on tax charges
- Hamilton JP jailed for two years for $1.1 million tax evasion
- Businessman pleads guilty to $1.3 million in tax charges
- Jail term extended for Tauranga tax evader
- Inland Revenue offers Language Line
- Inland Revenue wins prestigious IT award
- Inland Revenue simplifies tax with Business Is Booming
- Inland Revenue reassures people affected by weather
- Customers urged to contact Inland Revenue
- Inland Revenue issues GST statement on unconditional property sale agreements
- KiwiSaver information readily available from Inland Revenue
- Scott Anderson bankrupted for unpaid debt of $13 million
- Inland Revenue welcomes 'Trinity' court ruling
- Christchurch tourism operators' concern leads to community service for tax evader
- Inland Revenue welcomes prison sentence for GST fraud
- Levin man sent to jail over $45,000 in GST fraud
- Businessman who "undercut the opposition" jailed for tax fraud
- Accountant's low profits prompted tax audit
- "Not a lot" of effort to pay taxes results in jail term for tax evasion
- Tiler in court for keeping staff tax payments
- Northland flood victims should call if having problems with tax payments
- Tax agent fined $10,000 for refusing to cooperate with Inland Revenue
- Early Working for Families Tax Credits payments
- Nelson man in court for not passing on employees' tax payments
- Tax season underway
- Businesses foolish to try to suppress details of income
- Two years' prison for 146 tax offences
- Refusing to cooperate with Inland Revenue lands couple in court
- Prison sentence upholds integrity of tax system, says Inland Revenue
- Early family assistance payments
- Tax payments due on 7 February
Corporate Affairs
Inland Revenue
To make a media query:
Phone 04 890 1698 or email mediaqueries@ird.govt.nz
Please note, the email address is only for enquiries from the news media. It is monitored during normal business hours 8am - 5pm Monday to Friday.
P O Box 2198
Wellington 6140
New Zealand
Date published: 09 Mar 2007
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