Judge allows time to sort tax returns

A man owing more than $50,000 in tax and facing $8100 in fines has been given extra time to organise his affairs which were "in disarray".

Michael John Neho, 54, appeared in the Whanganui District Court facing six charges of failing to provide tax information and representing his company Mata Concepts Limited which faced 54 of the same charges.

Defence counsel Stephen Ross yesterday told the court Neho had originally paid someone $13,000 to sort the company's tax returns but not a single return was filed.

Neho then hired tax adviser Peter Scaletti who Mr Ross said had done "an outstanding job".

"There were a number of [returns] to be done and they were in a mess," Mr Ross said.

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Judge Dugald Matheson suggested the term "disarray" was perhaps more appropriate.

Mr Ross said all returns had been filed except for PAYE, which were nil returns.

"He thought it was fine and that he didn't have to file them but when he asked the IRD it turned out he had to file even nil returns." There were also 10 GST returns which Mr Scaletti was previously unaware of, and 53 returns in total needing to be filed - a total of $54,000, Mr Ross said.

Crown prosecutor Jo Woodcock said of the 53 returns, 28 were still outstanding, with the potential of $200 in fines per charge, and 25 had been filed, with fines of $100 per charge.

Judge Matheson said Neho would reappear for sentencing on August 14, giving him time to file outstanding returns and minimise the penalty.