Income and registration offences
Koh Thong Sia operated two quantity-surveying businesses. He understated approximately S$1.1 million of trade income in YA 2010/2011, leaving S$186,883 of income tax undercharged. The two businesses also exceeded the applicable S$1 million GST threshold by March 2009, but he did not notify IRAS; unaccounted GST was S$118,201.
Separate court outcomes
The income-tax charges resulted in three weeks’ imprisonment and S$560,648 in penalties. Failure to register for GST brought a S$4,000 fine and S$11,820 penalty. The release addressed both tax reporting and monitoring registration liability.
GST registration discussed in this release
The release discusses monitoring taxable turnover on a calendar-year basis, with registration required after annual taxable turnover exceeds S$1 million. It also refers to the forward-looking test where applicable. Taxable turnover is not the same as net profit. Failure to register can still leave GST payable from the liability date even if customers were not charged. The cited consequences include a 10% tax penalty and a possible fine up to S$10,000. Registration dates and procedures should be read in the context of the release year and the official guidance.
Disclosure, reporting and rewards
IRAS encourages taxpayers to correct past errors and report suspected tax malpractices. The release says disclosure may be considered when deciding enforcement action; it is not a blanket promise of immunity. Where the release describes informant rewards, qualifying information leading to otherwise lost tax recovery may attract 15% of recovered tax, capped at S$100,000, at IRAS’ discretion. Informant identities are kept confidential. Use the official release links for its reporting and disclosure channels.
Official source
This report is independently written from the IRAS release dated above. Case status, policy announcements and historical figures refer to that release.
Read the complete IRAS release ↗