Preventing tax evasion policy

Definition of Tax Evasion

3.1 It is an offence to dishonestly “take steps with a view to” or “be knowingly concerned in” the evasion of the tax. For these offences to be committed it is not necessary that any tax actually be successfully evaded.

3.2 There are three stages that apply to both the domestic and foreign tax evasion facilitation offences.

  • Stage One: the criminal tax evasion by a taxpayer (either an individual or a legal entity) under existing law;
  • Stage Two: the criminal facilitation of the tax evasion by an “associated person” of the relevant body acting in that capacity;
  • Stage Three: the relevant body failed to prevent its representative from committing the criminal facilitation act.