Tax Evasion and the Risks of Using Fake Invoices: What Crimes Are You Facing?

Tax evasion and the use of fake invoices are crimes that can have serious legal consequences for both individuals and companies. In this article, we will examine the risks of these actions, their legal dimensions and the crimes you may encounter in item by item.

1. What is Tax Evasion?
A. Definition:
Tax evasion is the act of knowingly and willingly underrepresenting the tax base or hiding tax rates in order to avoid fulfilling tax obligations by taxpayers.
Example: A business’s avoidance of paying taxes by hiding the income it earns can be considered tax evasion.
2. Use of Fake Invoices
A. Definition:
A fake invoice is an invoice that does not reflect the truth and is issued for a product or service that does not actually exist. Such invoices are used to avoid tax obligations.
Example: A company’s expense record with a fake invoice it receives from a supplier it has never purchased from.
3. Legal Consequences of Tax Evasion and Use of Fake Invoices
A. Criminal Law:
Tax evasion and use of fake invoices are regulated in the Turkish Penal Code (TCK). These crimes can lead to serious prison sentences and fines.

Example: A person who commits tax evasion can be sentenced to imprisonment from 3 months to 5 years.

B. Administrative Sanctions:
When the Revenue Administration detects tax evasion and use of fake invoices, it can impose administrative fines on taxpayers.

Example: A taxpayer who is detected using fake invoices can be subject to administrative fines for each fake invoice he/she uses.

4. Risks and Effects
A. Loss of Financial Resources:
Tax evasion and use of fake invoices cause losses in tax revenues of the state. This situation negatively affects the financing of public services.
B. Company Reputation:
Such actions damage the reputation of companies and lead to loss of trust. In the long run, it can cause deterioration of business relationships.
Example: A company that evades taxes by using fake invoices may not be considered trustworthy by its customers.

5. Audit and Detection Methods
Financial reports also play an important role in detecting such crimes. Suspicious actions may be a reason for an audit.

6. Defense Rights
A. Legal Assistance:
It is important for individuals who are accused of tax evasion or using fake invoices to seek professional legal assistance.
B. Objection Process:
Punitive actions taken may be objected to. Taxpayers have the right to defend themselves during the objection process.
7.

Tax evasion and using fake invoices are actions that have serious legal consequences for both individuals and companies. Preventing such situations ensures that the taxation system is fair and sustainable.

Taking the right steps in legal processes and receiving professional support will help you minimize the risks you may encounter. Remember that acting in accordance with the law not only ensures that you fulfill your obligations, but also increases your reputation and trust in the long run.