While administrative non-compliance is resolved through penalties, intentional tax evasion is treated as a severe criminal offense under the law.
Statutory Tax Offenses and Fraud
The TPA criminalises specific acts of bad faith. Criminal charges can be brought against individuals and corporate directors for:
  • Knowingly making false or misleading statements to a tax officer.
  • Deliberate failure to register for tax when required by law.
  • Obstructing or assaulting a tax officer in the performance of their duties.
  • Concealing, destroying, or falsifying books of accounts and electronic logs.

Corporate Liability
When a corporate entity commits a tax offense, every person who was a director, CEO, or financial officer at the time of the offense can be held personally liable. They can face criminal prosecution alongside the company unless they prove the offense was committed without their knowledge or consent.
Taxpayer Rights and Privileges
While the revenue authority holds extensive powers, the TPA balances this by protecting fundamental taxpayer rights:
  • The Right to a Tax Clearance Certificate (TCC): A taxpayer who is compliant with all filing and payment obligations has a statutory right to receive a TCC as proof of good standing.
  • Taxpayer Confidentiality: Tax officers are strictly bound by an oath of secrecy. It is a criminal offense for a tax officer to disclose a taxpayer’s financial or personal information to unauthorized third parties, except under specific judicial orders or exchange of information treaties.

 
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