- Hainan Yuehongyuan Tire Trading Co. illegally obtained 1.72 million yuan in VAT credit refunds and underpaid 1.92 million yuan in taxes from 2021 to 2023 by hiding sales income and making false declarations.
- The company used family members in key positions to obstruct investigations, refused to provide sales data, and claimed records were destroyed.
- Investigators traced funds and found 24.64 million yuan in undeclared sales income hidden in personal accounts, using POS machines linked to family members.
- The company was fined and ordered to repay a total of 7.28 million yuan in taxes, penalties, and late fees.
- The case highlights the use of personal accounts and false reporting to evade taxes and fraudulently claim tax refunds.
Source: chinatax.gov.cn
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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