Illegal contracts were concluded with private persons in 2017-2020.
The investigation showed that the services had been performed for a total amount of at least NOK 324 880. The service activity of the man was not entered in the VAT register. Companies' bookkeeping must be updated within the time limits required for mandatory financial reporting. At the same time, the rules of cash turnover must also be respected.
The man was convicted of violating Art. 392 of the Penal Code, see Art. 2 of the Accounting Act, cf. art. 7, art. 378 of the Penal Code, see Art. 2-1 of the Value Added Tax Act. For the crimes he was sentenced to 45 days suspended imprisonment with a two-year probationary period. He was also sentenced to pay an unconditional fine of NOK 15 and dividends of NOK 000 were seized.
11 customers were fined for complicity
- The man who performed the services was convicted, but we also investigated several of his clients. A total of 11 customers in Nordmøre were fined for complicity in tax evasion. Customer payments vary in size. These cases show that even private individuals can end up in the criminal record. This can happen when you buy the so-called "Black services," says Head of Investigation Linn Breivik Erstad in Møre og Romsdal Police District.
Tax Crime Manager Erik Nilsen in the Tax Administration believes it is clear that customers also need to know who they are dealing with and how they are paying for services.
11 customers were fined between SEK 5000 and 25. This is a punishment for violating the provisions of the Criminal Code regarding complicity in tax evasion. The fines have been approved and are final.
Some advice for those who want to use the services
In February, Norway opens up more and more and spring is just around the corner. There is coming a time when more people are going full steam ahead with different jobs. This means a simultaneous increased use of undeclared work. Agencies are monitoring the situation, and here are some advice for those looking to engage in craft services:
- Choose only serious companies. Carefully check the background of people who will work for you.
- Don't pay with cash. This makes illegal work easier. You have the right to pay through the bank and as a result you are stronger if you want to make a claim or complaint.
- Avoid selling doors. Don't let strangers in.
- Is the company entered in the Brønnøysund register and the goods and services tax register?
- When you are going to build or renovate: www.skatteetaten.no/om-skatteetaten/om-oss/forebyggegede-arbeid/tettpa/
- Check the company on: www.handlehvitt.no
- See more work crime advice: www.politiet.no/rad/arbeidslivskriminalitet
Source: Politiet
Let us remind you that not so long ago we wrote about a similar matter in the article from December 13, 2021 entitled Clients punished for buying "illegal work"
Read our next article: Does work fit in with life?
