Economic Crime Suppression Division Arrests IT Executives in VAT Fraud Case

Police arrested two IT company executives in Bangkok and Pathum Thani provinces for allegedly defrauding over 70 million baht in value-added tax (VAT). The suspects, Suwat and Saichon, face charges of colluding to evade tax obligations and failing to issue tax invoices. The investigation revealed discrepancies in the company's financial records, with reported income significantly lower than actual revenue for the fiscal years 2016 and 2017. The suspects also failed to record sales revenue and issue tax invoices for transactions, resulting in outstanding tax liabilities of over 79 million baht.

Key Takeaways:

• The Economic Crime Suppression Division arrested two IT company executives, Suwat and Saichon, in connection with a VAT fraud case, alleging they defrauded over 70 million baht in value-added tax.
• The suspects face charges of colluding to evade tax obligations, failing to issue tax invoices, and acting jointly as business operators to evade VAT.
• An investigation by tax assessment officers uncovered discrepancies in the company's financial records, including significantly lower reported income for fiscal years 2016 and 2017 compared to actual revenue.
• The suspects failed to record sales revenue for transactions in their VAT sales reports and did not issue tax invoices, resulting in outstanding tax liabilities of over 79 million baht.
• The company, Meedythai IT Co, is engaged in the sale of computer equipment and mobile phones and has outstanding tax liabilities totalling more than 79 million baht.
• The Central Tax Audit Division audited the company's tax affairs and determined the outstanding tax liabilities, which include statutory surcharges calculated up to April 30 this year.
• The suspects failed to comply with formal summonses issued by the tax authorities and provided no reason for their absence.

Statistics:

• 70 million baht:Estimated amount of VAT defrauded by the suspects
• 79 million baht:Outstanding tax liabilities of the company, including statutory surcharges calculated up to April 30 this year
• 2016 and 2017:Fiscal years in which the company reported significantly lower income in its corporate income tax returns than actual revenue recorded in financial accounts
• 2:Number of IT company executives arrested by the Economic Crime Suppression Division
• 60:Age of suspect Suwat
• 53:Age of suspect Saichon

Sources:

• Bangkok Post
• News: "Economic Crime Suppression Division arrests 2 IT executives for VAT evasion"
• Revenue Department