An Giang detects tax debtors involved in tax evasion and fraud

An Giang Tax Department identifies the tax amount of Nguyen Thanh Binh worth about VND90 billion. Photo: N.T

Tax evasion worth tens of billions of VND

On April 22, 2022, the An Giang Police issued a decision to prosecute and issue a ban on leaving the residence against Ngo Phu Cuong, 48, living in Long Xuyen city, An Giang province, for tax evasion as per regulations in Clause 3, Article 200 of the Penal Code.

According to the investigation agency, Ngo Phu Cuong directly manages the sand trading of four companies. He is the legal representative of Phu Cuong Co., Ltd and his daughter is the legal representative of Song Thoai One Member Company Limited.

From 2016 to 2020, Ngo Phu Cuong directly traded sand with companies inside and outside the province, with total revenue of over VND63 billion. This amount is paid to two personal accounts directly managed by Ngo Phu Cuong.

The investigating agency determined that for the total revenue, Ngo Phu Cuong did not issue an invoice when selling sand and record it in the accounting books and declare taxes of these companies.

The conclusion of the An Giang Tax Department showed that the tax violation of the Phu Cuong Co., Ltd and Song Thoai One Member Company Limited is worth over VND19 billion. Currently, the case is being investigated by An Giang Police.

In addition to the tax evasion case, many other cases of smuggling have been investigated and discovered by An Giang competent authorities.

Recently, after busting a gold smuggling and illegal foreign currency ring at Phuoc Nguyen gold shop led by Nguyen Thanh Binh in January, the competent agency continued to open expand the investigation of the case. As a result, in addition to the prosecution for "smuggling", he is prosecuted for "tax evasion".

As a result of the investigation from 2015 to 2020, the investigating agency detected that Binh implemented transactions worth VND6,362 billion but he only declared VND339 billion with the Tax authority. An Giang Tax Department assessed that the amount of tax by Binh was up to nearly VND90 billion. Currently, the Tax authority is coordinating with the Police and requests local tax authorities strengthen inspection and supervision of gold, silver and gem trading companies in the area.

Expanding investigation into tax evasion cases

From further investigation into the cases related to smuggling, gold trading, manufacturing and trading in motorcycle spare parts, as well as mining mineral resources, the local police has discovered many rings and individuals committing tax evasion with huge amounts. After prosecuting Tran Tri Manh for manufacturing and trading in fake goods, the competent agency detected that from 2018 to March 2021, Manh did not declare and pay tax as per regulations worth over VND161 billion. The tax office has determined that Manh has evaded taxes of about VND49 billion.

Similarly, during the investigation into the smuggling ring led by Ms. Nguyen Thi Kim Hanh (also known as Muoi Tuong), in addition to crimes related to organizing others to escape abroad, gold and sugar trafficking, illegal transportation of currency across borders and money laundering, the investigation agency continued to clarify the tax evasion by Tuong.

With the establishment of many companies with different business lines from 2010 to 2020, Muoi Tuong did not make tax declarations and payments with a total amount of more than VND4,000 billion. The local Tax Department is currently determining the tax amount of Muoi Tuong.

In addition, some gold shops in Chau Doc city are involved in Muoi Tuong's smuggling ring. The investigating agency has also identified that these gold shops show signs of tax evasion such as Truong Hung failing to pay taxes worth about VND9,000 billion from 2014 to 2020; and Truong Liem Gold Shop failing to declare and pay taxes from 2014 to 2020 worth over VND3,600 billion.

Currently, the Tax authority has urgently identified the evaded taxes by these shops.