8:00am Sunday 5th July 2009
By John Hoskins
A HAMPSHIRE second-hand car dealer cheated the tax man of almost £500,000 with a series of false returns and avoiding VAT, jurors heard.
Joseph Robinson, 61, operated his business under a series of names while trading as Chilworth Cars and in addition to selling second-hand cars was involved in the sale of Japanese “grey imports” – vehicles previously used in Japan and shipped to the UK for sale by dealers.
The prosecution allege he failed to declare his correct level of profits for the years ending 2000-03 as well as failing to register for VAT.
He submitted his total net profit totalled just over £28,000 but the true figures were much higher.
“As a result of this failure, he has caused loss to Customs and Excise totalling £469,743,” said barrister Philip Henry. “He was fully aware of his responsibilities at the time of the returns and he knew that for a considerable time.
“The figures were manufactured and false and the profits he made during those years exceeded the profits he claimed he was making. No one likes to pay tax but unfortunately those are the rules.”
Robinson was arrested after his accountant David Day had contacted the Inland Revenue of his concerns about the tax returns.
Mr Henry said Robinson’s previous accountant had warned him of the importance of ensuring the tax details were correct before signing them. “But from the outset, Robinson provided Mr Day with few records and little information, despite repeated requests. It is the Crown’s case that from the outset, the defendant was willing to sign incorrect figures.”
Mr Day had also told him in a letter in 2000 that he should have registered for VAT and if he wished to apply for it, they would be happy to do it on his behalf. “He never did.”
While preparing his 2002 returns, the accountant became concerned Robinson had not been telling him the extent of his trading and contacted the Inland Revenue, but nothing was done.
He again raised his concerns with the authority the following year and in a meeting said Robinson had turnover of more than £1m. Police later executed a search warrant at his home and seized documents including business records and bank details which included off-shore accounts.
In a statement prepared by his solicitor, Robinson said he had no reason to believe he had not been “compliant” in relation to his business and tax affairs. He said he had entrusted his affairs to Mr Day and felt “let down.” Robinson, of Chilworth Road, Chilworth, denies four charges of making false statements and one of cheating the public revenue.
Proceeding.
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