Chue Chia Yong (徐 嘉 嵘), who operated a website to advertise sexual services, was convicted in Court today. Chue Chia Yong had wilfully omitted from his individual income tax return for the Year of Assessment ("YA") 2014, the trade income of $90,317.38 that he earned from operating the website, thereby evading total income tax of $6,739.10. For making a false entry in his tax return, Chue Chia Yong was sentenced to 2 weeks imprisonment and ordered to pay a penalty of $20,217.30, three times the amount of income tax evaded. In default of payment of the penalty, Chue Chia Yong would have to serve an additional jail sentence of 5 weeks.

Sole-Proprietor Collected Online Advertising Fees

Chue Chia Yong started operating a website known as "sgsexcapades.net" in late 2012. The website was used to post online advertisements of sexual services. Chue Chia Yong collected monthly advertising fees of $300 from each customer, and this was subsequently increased to $400 from mid-2014.

IRAS’ investigations revealed that he had with wilful intent to evade tax declared a net trade income of only $60,000 for YA 2014 when his net trade income earned in YA 2014, after the deduction of business expenses, was $150,317.38. The allowable business expenses incurred included the web-hosting fees and online advertising fees that Chue Chia Yong paid to several online forum platforms.

IRAS Warns Against Tax Evasion

IRAS works closely with other law enforcement agencies and participates in multi-agency task forces to fight against serious tax crimes. The authority will not hesitate to bring tax offenders to court for their crimes.

Penalties for tax evasion can be up to four times the amount of tax evaded. In certain situations, jail terms may also be imposed.

Disclosure of Past Mistakes or Reporting of Malpractices

Businesses and individuals are encouraged to immediately disclose any past mistakes. IRAS will treat such disclosures as mitigating factors when considering the actions to be taken. Those who wish to disclose past mistakes, reveal evaded taxes, or report malpractices that might indicate tax evasion, can write to:

Inland Revenue Authority of Singapore

Investigation & Forensics Division

55 Newton Road, Revenue House

Singapore 307987

Email: [email protected]

Cash Rewards for Informant

A reward based on 15% of the tax recovered, capped at $100,000, will be given to informants if the information and/or documents provided lead to the recovery of tax that would have otherwise been lost. All payments are at the discretion of the Comptroller. IRAS will ensure that the identities of informants are kept strictly secret and confidential.

Inland Revenue Authority of Singapore