Fifty-six-year-old David Irvine was sentenced to four years and six months in the Brisbane District Court after being convicted of obtaining $596,736 for goods and services tax fraud and personal income tax fraud.
Between January 2012 and March 2015, Mr Irvine was director of International Products Group (IPG), a corporate trustee for the Irvine Family Trust, where he lodged 39 monthly business activity statements which resulted in the wrongful payment of $480,680 in tax refunds into his personal account.
As the director of the wholesale distributor of wooden sticks, Mr Irvine fraudulently reported export sales to reduce the company’s GST payment obligations which led to the illegal GST refunds.
The court heard that no attempt was made to repay the incorrect refunds, and the IPG was placed into voluntary liquidation in June 2015.
In addition to the GST fraud, Mr Irvine declared a nil income on his personal tax returns for the 2009 to 2011 financial years, but the ATO audit showed his total assessable income should have been $387,136 with the tax payable of $116,056.
ATO’s assistant commissioner, Peter Vujanic, said that tax crime was not victimless and that this result should serve as a warning to would-be fraudsters.
“Contrary to popular belief, tax crime is not victimless. By deliberately defrauding the tax and super system including claiming a refund you’re not entitled to, you are stealing from the whole community and disadvantaging Australians who do the right thing.
“Today’s result demonstrates the ATO’s commitment to detecting and prosecuting tax crimes and should serve as a warning to those who think they can flout the law and get away with it.”