Seven detained for tax avoidance using forged documents

Seven individuals have been detained for avoiding tax payment using forged documents and causing a loss of ₾200,000 ($78,759) to the budget in the process, the Investigation Service of the Ministry of Finance of Georgia said on Monday.

The body said the group had created fake documents for sale of wood materials between each other’s companies, before using the created VAT assets to cover their existing tax liabilities.

The scheme resulted in loss of funds for the budget through the use of the fake documents, with ₾70,000 ($27,565) of the loss reimbursed so far in compensation of the damages, with authorities continuing efforts to fully recover the loss.

The crime is punishable with imprisonment between five and eight years.