MUSCAT : The ruling comes after the court established that the defendant deliberately failed to submit mandatory tax returns and submitted forged documents with the intent of evading Excise Tax.

According to the verdict, the defendant was convicted on three charges: deliberate failure to submit Income Tax returns, for which the court imposed a three-month prison sentence and a fine of RO 2,000; deliberate failure to submit Excise Tax returns, resulting in a three-month prison sentence and a fine of RO 1,000; and submission of forged documents to evade Excise Tax, for which the court imposed a one-year prison sentence and a fine of RO 5,000.

The court ordered that the lesser sentences be merged into the most severe sentence of one year. The custodial sentence was suspended in accordance with the provisions of the judgment, while the defendant was ordered to pay all criminal legal expenses.

In the civil aspect of the case, the court ordered the defendant to pay the Tax Authority an amount exceeding RO 153,000, comprising RO 32,778 in due Income Tax and RO 121,207.132 in due Excise Tax, in addition to judicial expenses. The amount represents compensation for damages resulting from the offenses and for the loss of the State Treasury’s right to collect tax revenues.

Commenting on the ruling, Mamoun bin Saeed Al Mashari, Head of the Cases and Litigation Department at the Tax Authority, said the judgment sends a clear and firm message to anyone attempting to evade or violate tax laws. He stressed that the Authority will continue to pursue strict legal action against offenders to protect public funds and the national economy.

The Tax Authority reiterated the importance of compliance, urging all taxable entities to accurately disclose income and submit tax returns within legally prescribed deadlines. It warned that non-compliance may result in administrative fines and criminal penalties, including imprisonment and substantial financial sanctions, underscoring the State’s commitment to tax justice and the protection of public wealth.

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