Tax specialists exposed illegal operations in the scrap metal trade totaling more than 58 million UAH

Tax specialists of Dnipropetrovsk region exposed illegal financial operations by individual during the trade of scrap ferrous and non-ferrous metals totaling more than 58 million UAH.

Anti-money laundering department of Main Directorate of the STS in Dnipropetrovsk region detected that business entities used documents of the transit business entity that did not actually carry out economic activity and was not registered as a VAT payer, but issued documents for the sale of scrap ferrous and non-ferrous metals. Further, funds received by the transit business entity were transferred to the accounts of individuals for cash and their use in the shadow turnover. Income tax payments were not reflected in the business entity’s tax reporting.

As a result of operations that may be related to legalization of proceeds (money laundering), the specified individual did not declare and paid personal income tax totaling more than 10 million UAH.

Materials were transferred to the law enforcement agency for decision-making under Article 214 of the Criminal Procedural Code of Ukraine.

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