Ningbo Customs Cracked The Case Of Tax Refund Of 137 Million Yuan Export Clothing

On the 16th, Ningbo customs, Ningbo Taxation Bureau, Ningbo Public Security Bureau, and Ningbo central sub branch of the people's Bank of China jointly announced to the public. After a year of joint investigation and handling, four units jointly cracked a major case of cheating tax refund for export clothing and destroyed a tax fraud criminal gang involving 17 cities and 8 provinces including Zhejiang and Jiangxi. The case involved export goods worth 137 million yuan and defrauded 22 million yuan of state tax refund.

In June 2019, according to the case clues jointly issued by the General Administration of customs, the State Administration of Taxation, the Ministry of public security and the people's Bank of China, Ningbo customs, Ningbo Taxation Bureau, Ningbo Public Security Bureau and Ningbo central sub branch of the people's Bank of China jointly established the "P14" special group to crack down on export fraud and tax refund, and established the main criminal suspect, Yang of Ningbo, as the breakthrough point in case detection.

After four months of investigation and evidence collection, the special group finally found out that the criminal gang led by Yang actually controlled four garment enterprises in Nanchang, Jiangxi Province, falsely issuing special VAT invoices, illegally purchasing export goods information from freight forwarding companies and purchasing foreign exchange through illegal channels in the name of Ningbo D foreign trade company, thus obtaining 22 million yuan tax refund from the state.

In August 2020, the people's Court of Beilun District, Ningbo City, Zhejiang Province, sentenced Ningbo D foreign trade company D to a fine of 22.1 million yuan in the first instance of the crime of defrauding export tax refund and falsely making out invoices, and the principal offender, Yang Mou, was sentenced to 11 years' imprisonment and fined 22.1 million yuan.

It is reported that according to articles 204 and 205 of the criminal law of the people's Republic of China, anyone who fraudulently obtains the state's export tax refund by false declaration of export or by other deceptive means shall be sentenced to fixed-term imprisonment of not less than 10 years or life imprisonment, and shall also be fined not less than one time but not more than five times the amount of tax defrauded or be sentenced to confiscation of property if the amount is especially huge or if there are other especially serious circumstances. Whoever falsely makes out special invoices for value-added tax or other invoices used to defraud export tax rebates or to offset taxes, if the amount of tax falsely made out is huge, or if there are other especially serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than 10 years or life imprisonment.