Income tax to be determined according to § 32a (1) sentence 2 EStG | EUR 80,000
Revenue concealed by the taxpayer within the meaning of §§ 8 (1) and 18 EStG | EUR 30,000
Income tax reduced and evaded within the meaning of § 370 AO | EUR 12,000
Amount to be remunerated | EUR 12,000
In addition to the repayment of the reduced taxes and, where applicable, a fine or prison sentence, tax evasion may have other consequences. In particular, the evasion interest due to the Treasury according to § 235 AO, possible liability claims against third parties and “special payments” according to § 398a AO, if a self-disclosure according to § 371 AO cancels. We'll give you an overview.
With § 370 AO, the “Fundamental Tax Act” contains an independent penal provision extending the standards of the Penal Code. Tax evasion is one of the most frequent tax crimes in Germany, closely followed by the reckless tax reduction in the sense of § 378 AO. This is the case if the perpetrator recklessly, negligently, brings about the reduction of taxes or the receipt of unjustified tax advantages.
Before we come to secondary consequences such as the interest on evasion, let us first look at the facts and the legal consequences of § 370 AO. According to § 370 (1) sentence 1 AO, tax evaders are tax evaders who unjustifiably obtain other tax advantages by incorrect, incomplete or complete omission of information about tax-relevant facts. Tax evasion is a so-called success offence, because it is only effected according to § 370 paragraph 4 AO if a determination is too low or has been omitted.
“Tax benefits and tax refunds” are, for example, special depreciation and the VAT entitlement. Anyone who lies to the tax office or conceals relevant circumstances can also commit tax evasion.
For the threat of punishment:
This article does not replace tax or legal advice in an individual case. Facts, current law, jurisdiction, documentation and implementation remain decisive.