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Vehicle distributor convicted of offences under the Motor Vehicles (First Registration Tax) Ordinance
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     A registered importer and distributor of vehicles was suspected of filing returns containing under-declared landed values of imported vehicles to Customs with an intent to obtain a lower assessed first registration taxable value. The importer and distributor as well as its director were convicted at the Eastern Magistracy earlier. They were fined $228,000 in total.

     A Customs spokesperson today (March 16) reminded vehicle traders and their responsible persons to provide true and accurate information for assessment of first registration tax. Otherwise, they may have contravened the law.

     The offending company, located in Wan Chai and mainly engaged in selling new parallel-imported vehicles, was found to have falsely declared landed values of 62 vehicles from August 2012 to September 2013. The under declared value was $5.97 million in total. On July 30 last year, Customs conducted operations at the showroom and offices of the trader and seized relevant documents. After thorough investigation, Customs collected sufficient evidence for prosecuting the company and its director. The company and the director were convicted and fined by the court on March 13.

     According to the Motor Vehicles (First Registration Tax) Ordinance, an importer of a motor vehicle commits an offence when filing a false or inaccurate return as required under section 3B(1) with Customs. Offenders are liable on conviction to a fine of $500,000 and to imprisonment for 12 months.

     For enquiries and complaints, members of the public may call the Customs 24-hour hotline at 2545 6182.

Ends/Monday, March 16, 2015
Issued at HKT 20:10

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