China News Service, March 18. According to news from the Supreme People's Procuratorate website on the 18th, in order to implement the spirit of the Central Economic Work Conference and the Central Political and Legal Work Conference, punish crimes that endanger tax collection and administration in accordance with the law, maintain the socialist market economic order, and enhance the legal business environment To improve the level of construction, the Supreme People's Court and the Supreme People's Procuratorate jointly formulated the "Interpretation on Several Issues Concerning the Application of Laws in Handling Criminal Cases Endangering Tax Collection and Administration" (hereinafter referred to as the "Interpretation").
In order to strengthen the effectiveness of the implementation of the "Interpretation", the "Two Highs" simultaneously released 8 typical criminal cases that jeopardize tax collection and administration in accordance with the law.
These cases are clear-cut and demonstrate the judicial organs’ firm determination to punish tax crimes in accordance with the law and safeguard national tax security.
First, strictly implement the criminal policy of combining leniency with severity.
On the one hand, crimes that seriously endanger tax collection and administration must be resolutely and severely cracked down on.
For a long time, the People's Court and the People's Procuratorate, with the strong support of the public security and tax authorities, have always maintained a high-pressure posture of severely cracking down on tax-related crimes.
A large number of criminals who caused serious harm and received high public attention were severely punished, which effectively maintained the order of national tax collection and administration and the security of national property.
On the other hand, the People's Court and the People's Procuratorate differentiate between tax-related crimes of entity enterprises and are lenient when necessary, and will be lenient when the circumstances are minor and the harm is not great, and are carried out due to the relevant personnel's weak awareness of the rule of law, imperfect corporate rules and regulations, etc. If a company commits a crime, the enterprise shall be given as many opportunities as possible for compliance and rectification. Those who can recover tax losses through compliance and rectification shall be treated leniently in accordance with the law to minimize the impact on the production and operation of the enterprise.
For example, in the typical case 7 released this time, a waterproof material company in Shandong and Xu Moumou falsely issued special value-added tax invoices, corporate compliance shall be applied to enterprises with actual production and business activities in accordance with the law, and the units involved in the case that have passed the compliance rectification will be subject to discretion. It will be decided not to prosecute and promote the compliance and law-abiding operation of private enterprises.
The second is to strictly implement the principle of statutory crime and punishment.
Tax-related crimes are highly professional, have many controversial points, and have complex legal relationships.
The Interpretation clarifies controversial issues in the application of relevant laws.
For example, the distinction between the crime of falsely issuing special value-added tax invoices and the crime of tax evasion is a difficult point in theory and practice.
Conviction and sentencing must adhere to the statutory crime and punishment, and adhere to the unity of subjectivity and objectivity.
The "Interpretation" excludes from the crime of falsely issuing special VAT invoices any act that is not the core function of using special VAT invoices to deduct taxes, such as falsely increasing performance, financing, loans, etc., that is, in the form of exceptions. , narrowing the scope of application of this crime, which not only complies with the principle of proportionality of crime and punishment, but also highlights the focus of this crime.
The third is to guide taxpayers to enhance their tax awareness.
Crimes that endanger tax collection and administration, whether they are tax evasion, tax fraud, or crimes such as false issuance, forgery, or illegal selling of invoices, are ultimately related to the taxpayers' weak awareness of the rule of law.
Tax evasion and tax fraud directly endanger tax revenue. In other words, the actors embezzle national interests through taxation; even invoice-related crimes are motivated by social needs, such as false issuance, forgery, and illegal sales of invoices; those who evade the recovery of tax arrears The perpetrator evades tax obligations by transferring property and other means even though he owes taxes. He is not honest and has a serious subjective malignancy.
In recent years, taxation, public security, procuratorial, courts and other law enforcement and judicial agencies across the country have worked together to form a joint force to crack down on tax-related illegal and criminal activities. In 2023, eight departments were established across the country from top to bottom to normalize tax fraud. The mechanism uses investigation to promote governance and crackdown to promote reform, create a legal atmosphere in the whole society where "the legal network is well established and omissions are not omitted", and strict means are used to guide social subjects to continuously enhance their tax awareness and improve tax law compliance.
In the next step, the People's Court and the People's Procuratorate will continue to intensify the crackdown on crimes that endanger tax collection and administration, unify case adjudication standards, improve working systems and mechanisms, effectively safeguard the socialist market economic order, and provide strong judicial support for Chinese-style modernization with practical actions and service.
Punish typical criminal cases that endanger tax collection and administration in accordance with the law
Table of contents
1. Tax evasion case between a Sichuan food company and Zheng Moumou
2. The case of a catering company in Beijing, Chen and Gong evading the collection of tax arrears
3. The case of Shi Moumou and others defrauding export tax refunds
4. The case of a Zhenjiang technology company, Hong Moumou, Zhou Moumou and others fraudulently obtaining export tax refunds, and a Shenzhen trading company falsely issuing special value-added tax invoices
5. Case of falsely issuing special value-added tax invoices by Jin Moumou and others
6. The case of a Shanghai industrial company and Zhang Moumou falsely issuing special value-added tax invoices
7. The case of a Shandong waterproof material company and Xu Moumou falsely issuing special value-added tax invoices
8. Yang’s case of false invoicing
Case 1: Tax evasion case between a certain food company in Sichuan and Zheng Moumou
——Enterprises that break the law should proactively recover and rectify their losses and be given leniency in accordance with the law.
(1) Basic case facts
The defendant unit, a Sichuan Food Co., Ltd., is a small-scale food production enterprise and has general taxpayer qualifications.
From 2017 to 2019, the legal representative of the company, Zheng Moumou, arranged for the company's financial personnel to use deception and concealment methods to make false tax returns, evading tax payments of more than 1.27 million yuan, and the annual tax evasion rate was as high as 80% to 97%. % varies.
On September 29, 2021, the tax authorities issued a "Tax Treatment Decision" and a "Tax Administrative Penalty Decision" to the defendant unit, ordering them to pay the evaded taxes and fines within a time limit.
The defendant's unit failed to pay on time.
On October 14 of the same year, the tax authorities once again served the defendant with a "Notice on Tax Matters", requiring it to pay the above amount before the 28th of that month.
After the expiration of the period, the defendant unit still failed to pay.
On May 6, 2022, the tax authorities handed over clues to the company’s suspected tax evasion crime to the public security authorities.
The public security organs opened the case for investigation the next day.
Zheng Moumou surrendered after receiving a call from the public security agency.
On March 6, 2023, the defendant unit issued a letter of commitment to the tax authorities to apply for an extension of payment of taxes in batches, which was approved, and part of the evaded taxes was paid on the 8th of that month.
(2) Processing results
The People's Procuratorate of Renshou County, Sichuan Province prosecuted a Sichuan food company and Zheng Moumou for suspected tax evasion.
The People's Court of Renshou County, Sichuan Province held that the defendant, a Sichuan Food Co., Ltd., used deception and concealment methods to make false tax returns or failed to declare, and evaded paying a huge amount of tax, accounting for more than 30% of the tax payable. According to the tax authorities, Failure to pay the tax after being issued a recovery notice in accordance with the law constitutes the crime of tax evasion.
The defendant Zheng Moumou, as the person in charge directly responsible for the defendant's unit, also committed the crime of tax evasion.
The People's Court of Renshou County, Sichuan Province sentenced the defendant, a Sichuan Food Co., Ltd., to a fine for the crime of tax evasion; the defendant Zheng Moumou was sentenced to one year in prison, suspended for two years, and fined RMB 30,000; unpaid taxes were ordered to be recovered.
There was no protest or appeal after the first instance verdict was pronounced, and the verdict has taken legal effect.
(3) Typical significance
Taxation is the main source of national finance. It is taken from the people and used for the people.
Paying taxes in accordance with the law is a basic obligation of citizens and a legal obligation of enterprises.
Tax evasion harms national finances, disrupts economic order, and erodes social integrity. It is not only illegal, but also constitutes a crime if the amount is large.
For tax evasion, on the one hand, we must punish it in accordance with the law, use "punishment" to warn taxpayers to enhance their tax awareness, pay taxes in accordance with the law, and use "punishment" to promote "rectification"; on the other hand, we must also take into account the characteristics of taxation and the current situation of taxation, and give Taxpayers have made up for the opportunity and cannot be beaten to death with a stick.
According to the provisions of Paragraph 4 of Article 201 of the Criminal Law, the tax authorities should first handle the criminal liability of tax evaders. This not only gives taxpayers an opportunity to redress, but also helps to recover tax losses in a timely manner.
The defendant unit in this case is a welfare enterprise that provides employment for more than a dozen disabled employees and assumes certain social responsibilities. Affected by the epidemic, it failed to pay back taxes as scheduled after the case. Before the court ruling, a tax backpay plan was formulated and obtained Approved by tax authorities.
In order to effectively implement the equal emphasis on "criminalization" and "governance", the court cooperated with the tax authorities to conduct a corporate business risk review of the defendant unit. After the company carried out compliance rectification, the defendant unit and the defendant were punished leniently, which effectively avoided the consequences of one case. The consequences of ruining a business.
Case 2: Case of a Beijing catering company, Chen and Gong evading the collection of tax arrears
——Those who owe taxes will be held criminally liable if they transfer property without good faith.
(1) Basic case facts
The defendants Chen and Gong jointly invested in the establishment of a Beijing Catering Co., Ltd. (hereinafter referred to as a catering company) in 2006. Chen was the legal representative and Gong was the supervisor. Later, they established the first branch in 2007 and 2012 respectively. Company, second branch, Chen is the person in charge.
From 2012 to 2013, a catering company, its first branch, and its second branch used a total of 53 fake invoices issued by four companies including Wal-Mart to enter their accounts and included them in the corporate income tax payable income in 2012 and 2013. deduction and filed a corporate income tax return with the Beijing Shunyi District Taxation Bureau of the State Administration of Taxation.
In July 2014, the Inspection Bureau of the Beijing Shunyi District Taxation Bureau of the State Administration of Taxation conducted a tax audit on a catering company, and later made an administrative decision. It was determined that the company used invoices that did not meet the regulations to list expenses, and the amount due in 2012 and 2013 was increased. The taxable income totaled more than 3.69 million yuan, and a total of more than 920,000 yuan in corporate income tax for 2012 to 2013 should be paid, as well as late payment fees.
The defendants Chen and Gong established Hongmou Catering at the business address of the first branch, knowing that the State Administration of Taxation, Beijing Shunyi District Taxation Bureau, was conducting tax inspections on a catering company, making tax treatment decisions and recovering taxes. company, established a catering company named Shi at the business address of the second branch, opened a new account for the second company’s business use, and canceled the first branch and the second branch. At the same time, a catering company no longer applied for Invoices and company accounts will no longer be used after freezing.
Through the above methods, the State Administration of Taxation avoided tax collection by the Beijing Shunyi District Taxation Bureau. By the time of the incident, more than 820,000 yuan in taxes remained uncollectible.
After the incident, a catering company paid back the overdue corporate income tax and late payment fees totaling more than 1.3 million yuan.
(2) Processing results
The People's Procuratorate of Shunyi District, Beijing, prosecuted a catering company, Chen and Gong for allegedly evading the collection of tax arrears.
The People's Court of Shunyi District, Beijing held that the defendant's accounting books were chaotic and records were irregular, and the evidence on record could not confirm the existence of actual and reasonable expenditures related to the income obtained, and the tax should be paid back based on the amount determined in the tax treatment decision.
The defendant's unit defaulted on the tax payable and transferred and concealed its property, making it impossible for the tax authorities to recover the tax arrears. The amount exceeded the standard of 10,000 yuan stipulated in the criminal law, which constituted the crime of evading the recovery of tax arrears.
The Shunyi District People's Court of Beijing sentenced the defendant, a catering company, to a fine of RMB 850,000 for the crime of evading the collection of tax arrears; the defendants Chen and Gong were sentenced to three years in prison, suspended for three years, and fined RMB 850,000. Yuan.
After the verdict of the first instance was announced, the defendant Gong Mou filed an appeal.
After hearing the case, the Beijing No. 3 Intermediate People's Court ruled to reject the appeal and uphold the original judgment.
(3) Typical significance
Although tax arrears do not constitute a crime, if the taxpayer is able to pay the taxes but resorts to transferring or concealing property and refuses to pay the taxes, causing the tax authorities to be unable to recover the taxes owed, it is a violation of both tax obligations and The principle of good faith; if the amount of tax that cannot be recovered reaches more than 10,000 yuan, it shall constitute the crime of evading the recovery of tax arrears according to law.
In this case, the defendant unit and the defendant evaded paying the tax arrears by canceling the tax entity, establishing a new company, and opening a new account. The amount reached more than 100,000 yuan. According to the law, they should be sentenced to fixed-term imprisonment of not less than three years but not more than seven years. A fine of not less than one time but not more than five times the amount of unpaid tax shall be imposed.
The People's Court sentenced the defendant unit and the defendant to criminal penalties in accordance with the law, which not only effectively safeguarded the national taxation order, but also maintained the market environment for honest operations.
Case 3: Shi Moumou and others defrauded export tax rebates
——"Low value and high declaration" to defraud export tax refunds will be severely punished
(1) Basic case facts
In December 2017, the defendant Shi Moumou registered and established Tongling Bomou Technology Co., Ltd. (hereinafter referred to as Bomou Company) and Tongling Jinmou Technology Co., Ltd. (hereinafter referred to as Jinmou Company).
Among them, Bo Company, as a software company, enjoys preferential tax policies.
Shi Moumou, through the above two companies he controlled, purchased blank chips with a unit price of 0.7 yuan, wrote them into the current sampling control software, and then falsely raised the price to 200 yuan.
From January to August 2019, Bo Company falsely sold and issued special value-added tax invoices to Jin Company in the name of selling current sampling control chips.
After that, Shi Moumou and co-defendant Huang Moubo agreed that An Company in Chibi City, Hubei Province, controlled by the latter, would act as an agent for the export of current sampling control modules of Jin Company, and sign a false procurement contract with Jin Company. The current sampling control module was sold to An Company at a unit price of about 230 yuan. An Company then signed a false current sampling control module purchase contract with Hai Company established by Huang Moubo in Hong Kong, and exported the current sampling control module to Hongkong.
After Shi Moumou arranged for others to pick up the goods in Hong Kong, he treated the current sampling control module as garbage.
After the goods were exported, Shi Moumou, Huang Moubo and others raised US dollars to repatriate the funds and completed the foreign exchange settlement at Anmou Company. Jinmou Company mailed the special value-added tax invoice to Anmou Company, and Anmou Company used the above-mentioned false value-added Use special tax invoices and export declaration materials to apply for export tax rebates from the tax authorities.
From December 2018 to 2019, An Company defrauded more than 5.7 million yuan in export tax rebates through 149 special value-added tax invoices falsely issued by Jin Company. After deducting export agency and other expenses, the balance was returned to Jin Company in the form of payment for goods. some company.
After identification, the current sampling control chip produced by Bo Company has a market value of 1.32 yuan, and the current sampling control module produced by Jin Company has a market value of 7.31 yuan.
(2) Processing results
The Suburban People's Procuratorate of Tongling City, Anhui Province prosecuted Shi Moumou and others for allegedly defrauding export tax refunds.
The Suburban People's Court of Tongling City, Anhui Province held that the defendant Shi Moumou and others defrauded export tax refunds of more than 5.7 million yuan by false export declarations, which was a particularly huge amount and constituted the crime of defrauding export tax refunds.
The Suburban People's Court of Tongling City, Anhui Province sentenced the defendant Shi Moumou to 11 years in prison and fined RMB 5 million for the crime of defrauding export tax refunds; the co-defendants were sentenced to five to six years in prison and fined .
After the verdict of the first instance was announced, the defendant Shi Moumou and others appealed.
After trial, the Intermediate People's Court of Tongling City, Anhui Province decided to uphold the conviction and sentencing of each defendant.
(3) Typical significance
The crime of defrauding export tax refunds is one of the serious crimes that endangers tax collection and administration.
As a common international practice, in order to encourage the export of domestic goods and enhance international competitiveness, the country allows domestic goods to enter the international market at tax-exclusive prices, that is, after the goods are exported, the taxes paid in the domestic production and circulation links will be refunded, so as to avoid international double taxation. Tax.
Criminals take advantage of this national tax policy and use false export declarations or other deceptive means to disguise businesses that are not exported or that are exported but should not be tax refunded as tax refundable businesses to defraud export tax refunds.
This kind of behavior is essentially a crime of fraud involving illegal possession of state property. It causes serious harm and should be severely punished in accordance with the law.
Although the perpetrator was exporting, he defrauded the state of export tax refunds by falsely raising the prices of low-cost products, issuing special value-added tax invoices, and using the inflated export tax refund amount. The amount was particularly huge, causing huge property losses to the country, and should be punished according to law. Strike hard.
Case 4: A technology company in Zhenjiang, Hong Moumou, Zhou Moumou and others fraudulently obtained export tax refunds, and a trading company in Shenzhen falsely issued special value-added tax invoices
——Punish in accordance with the law crimes related to the false issuance of special value-added tax invoices and fraudulent export tax refunds
(1) Basic case facts
From 2014 to August 2017, the defendants Hong Moumou, Zhou Mou and others defrauded export tax rebates and contacted the defendant's unit, a trading company in Shenzhen, through others. The trading company in Shenzhen supplied upstream mobile phones to a communication technology company in Guangdong and other upstream mobile phones. When the merchant purchased goods, he signed a false mobile phone purchase contract with the upstream supplier in the name of four companies including a Zhenjiang technology company controlled by Zhou, provided false capital flows, separated the invoices and goods, and transferred the invoices that the upstream supplier should have issued to A special VAT invoice of a trading company in Shenzhen was issued to a company controlled by Zhou, thus obtaining a false special input VAT invoice, from which a trading company in Shenzhen charged a high invoicing fee.
At the same time, in order to obtain customs declaration documents for export tax rebates, several Hong Kong companies controlled by Hong signed false mobile phone export foreign trade contracts with companies controlled by Zhou, and rented "props" from others by borrowing goods and matching orders. "The mobile phone pretended to be a mobile phone in a foreign trade contract and made false customs declarations.
Finally, a company controlled by Zhou used the above-mentioned document procedures to make false declarations to the Zhenjiang Municipal State Taxation Bureau, defrauding a total of more than 720 million yuan in national export tax refunds.
(2) Processing results
The People's Procuratorate of Zhenjiang City, Jiangsu Province prosecuted Hong Moumou, Zhou and others, and a Zhenjiang technology company and other units for allegedly defrauding export tax refunds, and a Shenzhen trading company for allegedly falsely issuing special value-added tax invoices.
The Intermediate People's Court of Zhenjiang City, Jiangsu Province sentenced the defendant Hong to 14 years' imprisonment and a fine of RMB 726 million for the crime of defrauding export tax refunds; the defendant Zhou was sentenced to nine years' imprisonment and fined RMB 726 million. Five million yuan; the defendant's unit, a technology company in Zhenjiang, was fined RMB 100 million; the defendant's unit, a trading company in Shenzhen, was fined RMB 500,000 for the crime of falsely issuing special value-added tax invoices; the defendants in the same case were each sentenced to fixed-term imprisonment of three to Ten years and a fine.
After the verdict of the first instance was announced, Zhou and other defendants and a Shenzhen trading company appealed. After hearing the verdict, the Jiangsu Provincial Higher People's Court ruled to reject the appeal and uphold the original verdict.
(3) Typical significance
In recent years, the crime of fraudulent export tax refunds has developed industrially, causing huge tax losses to the country and having an extremely negative impact on the national export tax refund policy and export trade activities.
This type of crime often involves multiple criminal chains such as false opening, distribution of goods, customs declaration, underground banking, tax refund, etc. The internal division of labor is fine, relatively independent, and collude with each other, showing the characteristics of industrialization, specialization, and concealment.
This case involves three gangs of "purchasing tax invoices, making fake exports, and claiming tax refunds." Each defendant and defendant unit participated in different times and links, and should be treated qualitatively based on the specific criminal acts they participated in.
During the production and operation activities of an enterprise with genuine transactions, in order to earn invoicing fees, an upstream enterprise allows an upstream enterprise to issue special VAT invoices that should be issued to itself to others, which shall be deemed to constitute the crime of falsely issuing special VAT invoices.
Anyone who knowingly knowing that others have the subjective intention to defraud export tax refunds and still falsely issuing special value-added tax invoices for them shall be convicted and punished as an accomplice in the crime of defrauding export tax refunds.
At the same time, for multi-link and multi-chain criminal acts such as false tax fraud, the determination of whether it causes the loss of national tax revenue cannot be judged based on a single link, but a comprehensive analysis of the entire chain should be conducted.
Case 5: Case of falsely issuing special value-added tax invoices by Jin Moumou and others
——Shell companies that falsely issue special value-added tax invoices should be severely cracked down on
(1) Basic case facts
From 2018 to before the incident, defendant Jin Moumou hired defendants Chen Moumou, Li Moumou, Wang Moumou and others to register or purchase nearly 40 shell companies such as Shanghai Suimou Trading Co., Ltd. in the name of others.
In the absence of any actual goods transactions, Jin paid others an invoicing fee of 1.3%-2.2% of the face value, and accepted false invoices from many companies in Shandong, Zhejiang and other places through methods such as separation of tickets and goods, roundabout transfer of funds, etc. Special value-added tax invoices, with a total price and tax of more than 380 million yuan and a tax amount of more than 46 million yuan.
After that, Jin Moumou used fictitious goods purchase and sales business to falsely issue special value-added tax invoices to enterprises in Shanxi, Hebei, Shanghai and other places, with a total price and tax of more than 220 million yuan, resulting in more than 27 million yuan of tax being deducted.
(2) Processing results
The People's Procuratorate of Tiantai County, Zhejiang Province prosecuted Jin Moumou and others for allegedly falsely issuing special value-added tax invoices.
The Tiantai County People's Court of Zhejiang Province held that the defendant Jin falsely issued special value-added tax invoices for others and asked others to falsely issue special value-added tax invoices for himself without a real transaction. The other co-defendants knew that Jin falsely issued special VAT invoices for himself. Special VAT invoices are still involved, which constitutes the crime of falsely issuing special VAT invoices.
The People's Court of Tiantai County, Zhejiang Province sentenced the defendant Jin Moumou to 14 years' imprisonment and a fine of RMB 450,000 for the crime of falsely issuing special value-added tax invoices; the co-defendants were sentenced to three years to 13 years' imprisonment respectively. six months and a fine.
After the first instance verdict was pronounced, the co-defendants appealed.
After hearing the case, the Intermediate People's Court of Taizhou City, Zhejiang Province ruled to reject the appeal and uphold the original judgment.
(3) Typical significance
The key difference between special VAT invoices and other ordinary invoices is that they can deduct tax with the invoices, which is also the core function of special VAT invoices.
Criminals take advantage of this function of special value-added tax invoices to make false deductions, defraud the state of tax, cause losses to state property, and cause serious harm.
Therefore, the Criminal Law provides severe legal penalties for the crime of falsely issuing special VAT invoices.
According to the provisions of the Criminal Law, combined with the serious harm of the crime of falsely issuing special value-added tax invoices, whether it is falsely issuance for others, falsely issuance for oneself, allowing others to do so for oneself, or introducing others to falsely issuance, as long as the special value-added tax invoice is used to deduct tax False issuance of special VAT invoices using the function of payment is an act of falsely issuing special VAT invoices.
The perpetrators set up shell companies to commit the crime of falsely issuing special value-added tax invoices, which is the focus of a severe crackdown.
Case 6: A Shanghai industrial company and Zhang Moumou falsely issued special value-added tax invoices
——Punish in accordance with the law the behavior of enterprises issuing special VAT invoices to each other without real transactions
(1) Basic case facts
In August 2017, Zhang Moumou, the person in charge of an industrial company in Shanghai, the defendant unit, without actual business dealings, falsely issued two special value-added tax invoices for the industrial company through a Shanghai Clothing Co., Ltd. run by Tang Moumou. The total amount is more than 220,000 yuan, of which more than 30,000 yuan in tax has been declared as tax deduction.
The following month, Zhang Moumou issued a special value-added tax invoice for the same tax to the apparel company in the name of a knitted garment factory in Shanghai that he actually controlled without actual business dealings to deduct the tax.
In September 2017, Zhang Moumou and Lu Moumou, a salesman of an industrial company, asked a Hebei plush products Co., Ltd. to falsely issue 4 special value-added tax invoices for the industrial company by paying invoicing fees without any actual business dealings. The total price and tax is more than 380,000 yuan, of which more than 50,000 yuan of tax has been declared as tax deduction.
From September to December 2017, when Zhang Moumou was running an industrial company and a knitting factory, he asked the knitting factory to falsely issue 12 special value-added tax invoices for the industrial company without actual business dealings, with a total price and tax of 1.01 million. The remaining amount, including more than 140,000 yuan in tax, has been declared as tax deduction.
After the incident, the industrial company has paid back all the taxes involved in the case to the tax authorities.
(2) Processing results
The Songjiang District People's Procuratorate of Shanghai launched a public prosecution for the crime of falsely issuing special value-added tax invoices against the industrial company, Zhang Moumou, and Lu Moumou.
The Shanghai Songjiang District People's Court sentenced the defendant's industrial company to a fine of RMB 30,000 for the crime of falsely issuing special VAT invoices; the defendant Zhang was sentenced to one year in prison, suspended for one year; the defendant Lu was detained for six months, suspended for six months months.
There was no protest or appeal after the first instance verdict was pronounced, and the verdict has taken legal effect.
(3) Typical significance
If the perpetrators issue special VAT invoices to each other or issue them cyclically, and the output tax and input tax cannot offset each other, resulting in loss of state tax, they shall be held criminally responsible for the crime of falsely issuing special VAT invoices.
For those who implement bifurcation or circumvention for the purpose of inflating performance or other purposes, and do not cause any loss of national tax revenue, they will not be punished as a crime of falsely issuing special value-added tax invoices. If it constitutes other crimes, they will be held criminally responsible for corresponding crimes.
In handling cases, when determining the behavior of falsely issuing special VAT invoices to each other, attention should be paid to grasping the essential points of "falsely issuing special VAT invoices and causing losses to the state's tax revenue". Whether the perpetrator subjectively has the intention to defraud tax, and whether objectively In terms of taxes paid and tax losses caused, crimes will be determined through comprehensive review, and the boundaries between violations and illegal crimes will be strictly distinguished.
Case 7: A Shandong waterproof material company and Xu Moumou falsely issued special value-added tax invoices
——Entity enterprises subject to corporate compliance rectification will be treated leniently in accordance with the law
(1) Basic case facts
From June 2019 to September 2021, Gou Moumou (handled in another case) registered a number of shell companies in the names of others, and sold goods to many companies in Jiangsu, Henan, Zhejiang, Fujian, Shandong and other places without real goods transactions. The enterprise falsely issued special value-added tax invoices, with a tax amount of more than 7.39 million yuan.
Among them, in September 2019, a waterproof material company in Shandong (hereinafter referred to as the waterproof company), in order to deduct taxes, without real goods transactions, the actual controller of the company, Xu Moumou, passed through a shell company controlled by Gou Moumou. 22 special value-added tax invoices were falsely issued for him, with a tax amount of more than 270,000 yuan.
From August to October 2019, Xu Moumou also used a shell company controlled by Gou Moumou to falsely issue 59 special value-added tax invoices to two companies including a Xiamen waterproof building materials company where he served as a senior executive, with a tax amount of more than 750,000 Yuan.
All the invoices issued above were used for deduction, and the false invoices were transferred out as input tax after the incident.
In April 2022, this case was transferred by the Shouguang City Public Security Bureau of Shandong Province to the Shouguang City People's Procuratorate of Shandong Province for review and prosecution.
After the case was transferred for review and prosecution, Xu Moumou expressed his plea of guilty and accepted punishment, took the initiative to apply to start corporate compliance procedures against the waterproofing company, and voluntarily carried out compliance rectification.
After on-site visits and investigations, the procuratorial organs learned that the waterproofing company has been operating normally since its registration and establishment in 2015. The company's products have good development prospects and potential, with an annual output value of between 30 million and 50 million, and have made certain contributions to local economic development. , Compliance rectification is conducive to the long-term business development of enterprises.
In November 2022, the procuratorate decided to apply the enterprise compliance and third-party supervision and evaluation mechanism involved in the case to the waterproofing company.
(2) Processing results
The procuratorate consulted with the Shouguang City Enterprise Compliance Third-Party Supervision and Evaluation Mechanism Management Committee to form a third-party supervision and evaluation organization composed of local tax authority staff, lawyers, etc., to guide and urge the waterproofing company to formulate compliance rectification plans and clarify the company’s special compliance Establish and improve the relevant compliance management system.
The waterproofing company hires a professional compliance team from outside to carry out compliance rectification in accordance with the compliance plan in areas such as legal affairs and taxation, and conducts legal education for management personnel.
After the company's compliance rectification, Xu Moumou and the company's management personnel put aside their ideological burdens and actively organized and carried out production and operation activities.
At the same time, the procuratorial organs have strengthened their guidance on the standardized operations of the enterprises involved in the case, so as to promote the enterprises to enter a healthy development track.
In April 2023, a third-party organization assessed that the waterproofing company had completed effective compliance rectification.
In October 2023, the People's Procuratorate of Shouguang City, Shandong Province, based on the conclusion of the compliance inspection, decided not to prosecute the waterproofing company; it prosecuted Xu Moumou for allegedly falsely issuing special value-added tax invoices, and proposed a lenient sentencing recommendation. .
The People's Court of Shouguang City, Shandong Province sentenced the defendant Xu Moumou to two years in prison, suspended for two years, and fined RMB 20,000 for the crime of falsely issuing special value-added tax invoices.
There was no protest or appeal after the first instance verdict was pronounced, and the verdict has taken legal effect.
After a return visit, we learned that the waterproofing company is currently operating normally, with stable output and stable employees.
(3) Typical significance
In the compliance reform of enterprises involved in the case, the procuratorate must give full play to its role, accurately grasp the applicable conditions for compliance rectification, and rely on the third-party supervision and evaluation mechanism management committee to ensure that the case is properly handled and compliance is effectively carried out.
It is necessary to comprehensively consider the alleged crimes of the case and the type, size, business scope, main business and other factors of the enterprise involved, and form a targeted third-party organization, focusing on the internal governance structure, rules and regulations, and personnel management of the enterprise that are closely related to the enterprise's suspected crime. We urge enterprises to formulate special compliance rectification plans and build effective compliance management systems.
When handling cases, decisions can be made in accordance with the law based on the criminal facts and circumstances of the enterprises and persons involved, as well as their performance in compliance rectification. Units that have made effective compliance rectifications will not be prosecuted; those directly responsible for non-compliance will be exempted from prosecution. If there are no conditions for prosecution, public prosecution will be instituted in accordance with the law and suggestions for leniency and sentencing will be made.
Case 8: Yang’s false invoicing case
——Falsely issuing ordinary invoices may also constitute a crime
(1) Basic case facts
From 2014 to 2022, the defendant Yang registered and established 11 companies in the name of close relatives or others.
In the absence of actual business operations, through the introduction of intermediaries Liu Mou (handled in another case), Fu Moumou (handled in another case) and others, 11 companies were used to falsely issue general VAT invoices through false account transfers, capital return and other methods. , charging a benefit fee of 0.5%-1.5% of the face value, and making a total profit of more than 3.4 million yuan.
After inspection by the tax authorities, Yang falsely issued 14,370 ordinary value-added tax invoices through the above 11 companies, with a cumulative face value of more than 1.2 billion yuan.
(2) Processing results
The Tianjin Binhai New Area People's Procuratorate prosecuted Yang on suspicion of false invoicing.
The Tianjin Binhai New District People's Court held that the defendant Yang violated national tax collection and invoice management regulations and falsely issued ordinary invoices for others without actual business activities, which constituted the crime of false invoicing, and the circumstances were particularly serious.
The Tianjin Binhai New District People's Court sentenced Yang to six years in prison and a fine of RMB 200,000 for falsely issuing invoices.
There was no protest or appeal after the first instance verdict was pronounced, and the verdict has taken legal effect.
(3) Typical significance
Although ordinary invoices do not have the function of deducting taxes compared with special VAT invoices, they are the original voucher for accounting and are also an important basis for law enforcement inspections by audit authorities and tax authorities.
There are relevant regulations for the printing, collection and issuance of invoices.
In order to obtain illegal benefits, criminals engage in illegal and criminal acts of false invoices, which facilitate tax evasion, tax fraud, financial fraud, corruption and bribery, squandering of public funds, money laundering and other illegal crimes, seriously disrupting the market economic order, encouraging the spread of corruption, and corrupting society. Customs have serious social harm.
The 2011 "Criminal Law Amendment (8)" added the crime of false issuance of invoices, without requiring a specific purpose or the harmful consequences of tax loss, which complies with the needs of social governance.
The perpetrator set up multiple shell companies, defrauded the tax authorities and then issued false invoices to others. The number and amount of false invoices were extremely huge, and the circumstances were particularly serious. Although he confessed and voluntarily confessed and accepted punishment, the court still sentenced him to a fixed term of imprisonment. The six-year prison sentence reflects the attitude of punishing the crime of false invoices in accordance with the law.