FINED £4OO

Evening Star, Issue 23371, 14 September 1939, Page 10

FINED £4OO

AUCKLAND BOOKMAKER PROSECUTED FALSE INCOME TAX RETURNS [Per Untied Press Association.] AUCKLAND, September 14. Having failed to convince the Income Tax Department that his income for four years was not from bookmaking but from “ punting ”, on his own account, Clarence William Russell was prosecuted on a summons in the Police Court by the Commissioner of Taxes on four charges of wilfully , making false returns of income derived during the years ended March 31, 1935, 1936, 1937, and 1933. Mr R. A. Singer represented the defendant, who pleaded guilty to each charge. Mr Meredith, for the Commissioner, said Russell was well known as a bookmaker in a large way. In the 1935 return he stated he had made a loss of £B7. whereas the department’s investigations showed his income for the year to be £3,710. For the year 1936 a return of £157 was made, whereas he had earned £1,678. In 1937 he showed a return of £438, whereas it should have been £5,110. For 1938 he showed a return of £320, whereas the true income was £2,161. The tax for which he was liable for amounts unreturned would be over £2,500. Mr Meredith said the authorities were quite clear that the income derived from the bookmaking business was income from an illegal source, but nevertheless the same authorities were clear that it was liable to , income tax dutv. htr Singer said the defendant had no means of contesting the assessments that had been made, and the figures would have to be accepted. In response to the department’s demand, Russell had promptly paid the amounts claimed, plus the 6 per cent, penalty. “ These were wilful attempts to deceive,” said the magistrate (Mr M'Kean). “ Having regard to the return of income, there is little that can be said in mitigation. 1 would not be justified in imposing a penalty less than the maximum. On each of the four charges defendant will be fined £100.” _____