Beijing's State Administration of Taxation has exposed ten cases of tax evasion in 2007 and says it fined Beijing Guanghui Jiyuan Trade Company, a television shopping provider, about RMB40 million for tax evasion.

According to BSAT, since 2003, Beijing Guanghui Jiyuan Trade Company had been remitting goods payment to a hidden account through an express mail company and it had evaded up to RMB20 million in taxes by the end of 2006. As a result, it had been fined an amount double to its tax evasion, without counting the daily late fees.

Wang Honghu, deputy director of the Inspection Bureau of BSAT, says that television shopping and online shopping have been a blind area for tax collection. However, he says that his department will strengthen the inspection on these industries this year.

In addition, Wang says that they will also focus on checking the use of fake invoices during their work and punish those companies that are found to deliberately use false invoices or fapiaos.

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