Fraudsters caught out
Two former Sydney tax agents have pleaded guilty to tax fraud of more than $3.5 million.
The pair were sentenced at the Downing Centre District Court following a joint investigation by the Australian Federal Police and Australian Taxation Office (ATO).
Mark Norman, 51, was sentenced to nine years and nine months, while his brother, Robert Norman, 60, was sentenced to seven years, after they both plead guilty to tax fraud totalling almost $6 million.
From August 1993 to April 2003, the brothers ran an accounting firm in Burwood where they altered client returns in order to claim additional losses and increase the size of refunds, which were then transferred into their business bank accounts without their clients’ knowledge.
The pair also misappropriated a cheque for $744,225 from a client who intended to pay off an outstanding capital gains tax bill.
Acting Judge Moore said the pair had broken the trust and responsibility that was expected of tax agents.
“This fraudulent behaviour undermines the integrity of the tax system and the reliance on tax agents to act lawfully,” Moore said.
Tax Commissioner Michael D’Ascenzo hopes the sentences will send a strong message to the community that tax fraud carries serious penalties.
“Tax agents play an important part in maintaining the integrity of the tax system and helping the community to meet their tax obligations,” D’Ascenzo said.
“That’s why it’s important that firm action is taken against those few agents who abuse their position of trust and deliberately commit fraud.”
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