BOOKMAKER AND HIS INCOME RETURNS

Chronicle (Levin), 11 June 1946, Page 7

BOOKMAKER AND HIS INCOME RETURNS

-Press Association

By Telegraph—

WANGANUI, June 10. Iguorance of liability to subinit corrtct returns of income receivcd froiu bookmaking or betting, was xileaded in the Magistrate's Court today by a defendant seeking leniency. Tliomas Stanley Leatheiu, tobacconist and hairdresser, axipeared before Mr. J. H. Salmon, S.M., cliarged with negiigeutly, or alternatively with wilfully, fyiling to submit correct roturns of income for the year ending March 81, 1942, 1944, and 1945. Four of the informations were withdrawn iinally by the Crovvn for whoni Mr. N. R. Bain appeared and defendant was iincd £25 for uegiigontly failing to submit a return in 19-12 aud £50 for a siiuilar olfence iu 19-14. Costs amouiited to seven guineas and defendant was allowed three months in which to pay. "Defendant carried on a business as a tobacconist aud also as a bookmaker, " said Mr. Baiii. "No records were available regarding the proiils made by defendant from bookmaking but an assessnient of -his income was made after an insxiection of his bank passbooks. When defendant was notilied tliat his bocrks were to be examined by an Income Tax insx>ector, he withdrew £8000 from the bank the day before the insxiector's visit." Mr. W. R. Brown (counsel for defendant): "We object to any suggestion that the sum was withdrawn fnr any imxiroper xiurpose. It is not denied tllat defendant omitted to submit a return of his income from bookmaking. Mr. Brown said that defendant was under a genuine delusion that his in come from bookmaking and betting was not. taxable. The magistrate: Legislation inakes no dilference between a negligent or vvilful submission -of falsc returns. The penalty is the same. Mr. Brown: The wliole point of the defenee is the state of defendant 's mind on the subjeet. The magistrate: If he was .straiglitforward enough to bank ali his winnings, that indicates he committed the olfence negligently. By banking everything he put himself in the liands of the departinent. The charges of wilfully submit tiug false returns were thereupon withdrawn and defendant was lined as stated.