A PRINTING firm was yesterday fined $5,000 and ordered to pay a penalty of $48,704.40 after it made a false claim under a scheme that provides tax incentives for businesses to become more efficient.
To boost a cash payout it was applying for under the Productivity and Innovation Credit (PIC) scheme, Media Grafix inflated its qualifying expenditure in a 2012 application.
It claimed $27,058 had been spent to purchase "automation equipment" including computers and software. Investigations showed that the true figure was $21,150.
Media Grafix director Ong Chee Hui, 42, pleaded guilty on the firm's behalf on July 2.
Media Grafix is the third firm to be prosecuted for abusing the PIC scheme, which was introduced in 2010 to give tax deductions or cash payouts to firms if they take steps to boost productivity including for automation and training.
This article was first published on August 13, 2014.
Get The New Paper for more stories.