A "serial tax cheat" who evaded paying $979,000 over more than 15 years has been sentenced to a year's home detention in Wellington today.
Paul Andre Kinsman, a former property developer, had previously admitted 28 charges of tax evasion.
$705,445 of tax money he should have paid is still missing, Inland Revenue believe.
He was sentenced in Wellington District Court today to 12 months home detention, 275 hours of community work and ordered to pay $25,000 on 25 charges of knowingly filing false GST returns, two charges of knowingly not providing GST returns, and one charge of knowingly failing to provide returns for income tax.
Kinsman's company Portside Limited agreed to buy a $830,000 property in 2003, which gave it a GST refund of $92,000. Six months later he claimed the purchase again and got another $92,000, despite the sale not going ahead.
Inland Revenue acting group manager Graham Tubb said Kinsman's behaviour was not sophisticated but was a continuous effort to avoid taxes.
"Investigation also showed that the company claimed expenses with no supporting invoices, or using invoices issued to two different companies, NZ Industrial Holdings Limited and Sun Valley Developments Limited, both of which were controlled by Kinsman," Mr Tubb said.
"His actions also included failing to return GST on a number of properties that another of his companies, Brentwood Park Developments Limited, sold and received settlement on in 2008, not filing a return for the sale of a property through Waingawa Limited in 2009, and the evasion of personal income tax of $197,640."
Kinsman did not file personal income tax returns between 1994 and 2007.
"Kinsman is a repeat offender and he was fully aware of the tax rules and his tax obligations. Unfortunately he chose to ignore them and it is due to his illegal activity that around $705,445 of taxpayers' money is still outstanding," Mr Tubb said.
- © Fairfax NZ News
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