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22 May 2012 - Director of Metal Stamping Company Jailed for His Role in Tax Evasion
Mr Lim Bee Hua ("LBH"), director of Global Harvest Precision Pte Ltd ("GHPPL"), a company that produces and sells metal stamping parts, was sentenced to two weeks' jail for assisting GHPPL to evade $ 73,853 in taxes. LBH was also ordered to pay a penalty of $221, 558, being three times the total amount of tax evaded; in default, five month's jail. Both LBH and GHPPL had omitted income totalling $405,791 from GHPPL's Income Tax Returns for the Years of Assessment (YA) 2006 and 2007.

The company was ordered to pay a penalty of $221,558, being three times the total amount of tax evaded, and a fine of $12,000. Three other similar offences relating to YA 2005, 2008 and 2009 were compounded by the Comptroller of Income Tax.

Under-reporting of income over two years
LBH has been a director of GHPPL since 22 October 2003. In the course of its business, GHPPL sold scrap materials to a scrap dealer from 2004 to 2008. IRAS' investigations revealed that GHPPL did not issue sales invoices to the scrap dealer for the sale of scrap materials totalling $1,318,615. The amount was also not deposited into GHPPL's bank account. Instead LBH deposited substantial amounts of such sales proceeds from 2004 to 2006 into his personal bank account with HSBC Bank, and those for years 2007 and 2008 into another personal bank account with POSBank. Both bank accounts were operated by LBH.

GHPPL had deliberately omitted most of the income from the sale of scrap materials from its audited accounts and its Income Tax Returns for YA 2005 to 2009. LBH had signed the documents as director of GHPPL with full knowledge that the amount had been omitted from income tax for YA 2005 to 2009.
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