Company director and ex-wife jailed over £815,000 tax fraud
The director of a Motherwell fire safety and security firm director and his ex-wife have been jailed for a total of six years and nine months for stealing £815,000 tax, National Insurance and VAT after they were investigated by HM Revenue and Customs (HMRC).
The two-pronged attack on the tax system saw Donna Howard, 43, steal £283,713 in Income Tax and National Insurance Contributions (NIC) from the unsuspecting employees of her former husband’s business, Motherwell-based MDH Fire and Security Services Limited.
The HMRC investigation also revealed that over a three year period she and her husband Michael, 44, were guilty of charging customers more than £530,000 in VAT using fictitious and de-registered VAT numbers but kept the money.
Mrs Howard gave the frauds a veneer of legitimacy by creating false payslips and paperwork. Investigators found that instead of paying the tax, the money was used to fund the couple’s lifestyles.
The pair shared a £400,000 house in Motherwell and enjoyed luxurious trips abroad.
Action to recover the evaded taxes is now underway.
Michael Howard, of Kingsacre Road, Glasgow, was found guilty at a trial in Hamilton Sheriff Court Sherriff Court in February to being knowingly concerned in the fraudulent evasion of Value Added Tax contrary to section 72(1) of the 1994 Value Added Tax act. He was sentenced to three years in prison on Thursday 16 March 2017 at the same court.
Donna Howard, of Snead View, Motherwell, was found guilty at a trial in Hamilton Sheriff Court Sherriff Court in February to being knowingly concerned in the fraudulent evasion of Value Added Tax contrary to section 72(1) of the 1994 Value Added Tax act.
She was also found guilty of the fraudulent evasion of Income tax and National Insurance deductions.
On Thursday 16 March 2017 at the same court she received a three year prison sentence for VAT fraud and two nine month concurrent sentences for to the other offences.