Café owner sentenced for $1 million GST fraud

Publisher
Australian Taxation Office
Date published
August 2024

Relevant impacts: Government outcomes impact, Financial impact, Business impact.

A South Australian man has been sentenced to 6 years and 6 months in prison, with a non-parole period of 3 years and 8 months, after he obtained over $1 million in fraudulent GST refunds. The man had his assets liquidated, including the property, to repay the debts he owed to the Australian Taxation Office (ATO).

Between 3 March 2014 and 11 January 2016, the accused submitted 9 quarterly business activity statements (BAS) as the sole owner of Metro Express Café. As a result, he claimed GST refunds that he knew he was not entitled to.

The man fled to Western Australia in 2019 to avoid facing court in South Australia on refund fraud charges. The ATO tracked him to a roadhouse in the state’s remote north where he was employed, and he was subsequently arrested by the Australian Federal Police (AFP). The matter was prosecuted by the Commonwealth Director of Public Prosecutions following a referral from the ATO.

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The Reckless

The Reckless acts without care, responsibility or regard to the consequences of their actions by disregarding requirements, procedures, warnings or directions to gain personal benefits.

The Fabricator

The Fabricator invents or produces something that is false to dishonestly gain personal benefits.

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