AMS director in E5m tax evasion, fined E2 000

MANZINI- The director of AMS Contractors (Pty) Ltd has been arrested for evading tax worth E5 million.

Carlos Dos Santos is said to have unlawfully and intentionally omitted the company’s value added tax (VAT) return and supporting schedule invoice number 005, amounting to E5 million as output tax for the period April to June 2021, thereby under-declaring output tax.

Carlos of Manzini was charged jointly with his company and pleaded guilty to the charge of contravening the Value Added Tax Act No. 12 of 2011, when he appeared before Magistrate Lucia Lukhele at the Matsapha Circuit Court. The court then found him guilty as per his own plea.

The accused was sentenced to two years imprisonment with an option to pay a fine of E2 000.

In another matter, a car dealership owner by the name Sikander Tufail (34) of Magevini Flats faced one count of contravening the Income Tax Order of 1975 and another for contravening the VAT Act No. 12 of 2011 (as amended).

In the first count, the accused reportedly failed to show any return made by him and any portion of the gross income received by or accrued to him. This happened upon or about June 2021 in Matsapha. In the second count, the accused is said to have unlawfully omitted a statement made to an officer.

Guilty

He pleaded guilty to both counts. In mitigation, the accused person’s lawyer said he was a first-time offender and had pleaded guilty to the offences without wasting the court’s time, which he said was an indication of being remorseful. He further submitted that he had no intention to commit the offences.

The accused was sentenced to two years imprisonment or a fine of E2 000 in the first count, and the same in the second count. The sentences are to run concurrently, meaning he was only sentenced to two years imprisonment with the option of a fine of E2 000.