Woman fined S$5,500 for evading GST on several luxury bags

SINGAPORE: A woman was fined S$5,500 on Thursday (October 6th) for evading goods and services tax (GST) on several luxury bags from brands including Louis Vuitton and Loewe.

Teo Hwee Ling, 37, was arrested by immigration officers at Changi Airport on May 1 after arriving on a flight from Frankfurt.

They inspected the items in a paper bag she was carrying. She was then directed to Singapore Customs where she declared two branded bags for tax payment – a Louis Vuitton backpack and a Loewe bag.

“When asked to produce invoices for the two bags by a Singapore customs officer, Teo said they were gifts from her friend residing in Germany and she had no knowledge of their value” , Singapore Customs said in a press release.

He added that in the absence of documents to establish the value of the bags, Teo provided a verbal declaration of €1,000 (approximately S$1,470 at the time) and made a GST payment of 68 S$.20 after deducting GST import relief for travellers.

As she had spent more than 48 hours outside of Singapore, she was granted GST relief of S$500.

Later that month, Singapore Customs were informed that there were discrepancies between the declaration made by Teo and the purchases she had made overseas.

“Investigations revealed that Teo had deleted the value of the two bags which she declared as gifts, when they were Teo’s purchases and were valued at around S$5,060,” it said. the agency.

She had also failed to declare five other items, which were valued at around S$9,240 when she returned to Singapore on May 1.

According to court documents, the objects are a pair of Ferragamo shoes, perfumes and cosmetics, a Longchamp bag, a Chanel bag and a Louis Vuitton shoulder bag.

The items were undeclared and were taken out of the arrival hall in a suitcase, Singapore Customs said.

He added that the GST that was not paid on the two under-declared bags was around S$250 and that the GST payable on the five undeclared items was around S$640.

The total value of the seven items was over S$14,000, according to court documents.