Company owner and employee are facing R 43 million tax fraud charges
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A tax fraud case against a businessman and his employee is set for pre-trial on June 13th, 2024.
The 66 years old Krishna Chetty and Ravin Ramlall, who is his employee are facing charges of fraud and tax evasion relating to his company income tax amounting to over R43 million.
Henry Mamothame from the NPA says that the pair failed to honestly declare the income of Counterpoint Trading 156 CC and thereby failed to comply with the statutory duty imposed by section 25 of the Tax Administration Act.
Ramlall allegedly instructed a tax practitioner to misrepresent the Company Income Tax returns of Counterpoint Trading 156 CC during the period 2018 – 2021, on behalf of Chetty, who is the sole director in the company.
The said act which is said to be uncovered through an investigation by the Investigating Directorate (ID) in collaboration with the South African Revenue Service (SARS) in terms of Section 73 of the Prevention of Organised Crime Act no. 121 of 1998, allegedly took place during 2018 and 2021.
The company received various amounts of money from different business sources. In 2018, Counterpoint Trading 156 CC received taxable income of R26million, to which it only declared R1 million to SARS. The company further received an amount of R10 million in 2019, and only declared R1 million.
“The trend continued in 2020, to which Counterpoint Trading 156 CC received over R18 million and only declared R1 million. A further amount of R1 million was declared by the company to SARS for an actual taxable income of R16 million received.”
“The two are out on R50 000 bail and they are expected back in court in June when the matter resumes” said Mamothame.
