MUSCAT – The court convicted the defendant in absentia, sentencing them to six months in prison, a fine of RO 2,000, and ordering RO 3,000 in civil compensation payable to the Tax Authority – bringing the total financial penalty to RO 5,000.

According to Muna bint Hamdan bin Suleiman Al Kalbaniyah, Acting Director of the Legal Affairs Department at the Tax Authority, the case began when the Authority’s Anti-Tax Evasion Department received information regarding large-scale financial transactions managed by the defendant.

“Based on this, judicial officers conducted investigations and found that these transactions had not been disclosed for tax purposes. It was also revealed that the company had failed to submit tax returns and financial statements, violating Article 140 of the Income Tax Law.

Official reports were filed, and the case was referred to the Public Prosecution’s Financial Crimes and Anti-Money Laundering Division to complete the legal process and refer the defendant to court, where a conviction was ultimately issued,” she explained.

The Tax Authority continues its efforts to raise awareness regarding tax obligations, utilising various media platforms and conducting workshops and seminars across the Sultanate. These initiatives aim to educate businesses and individuals on the provisions of the Income Tax Law and the severe penalties for non-compliance.

The Authority reiterated its call for all taxpayers to diligently adhere to tax regulations, accurately disclose their income, and submit tax returns within the legally stipulated deadlines. It emphasized that failure to comply can result in administrative penalties and fines of up to RO 2,000, and may escalate to legal prosecution, with potential penalties reaching six months in prison and fines of up to RO 20,000.