1, because according to the provisions of the Tax Administration Law, taxpayers should truthfully declare their taxes and falsely report their wages, which also violates the Tax Administration Law and constitutes a crime of falsely reporting registered capital, and is sentenced to fixed-term imprisonment of not more than three years;
2. For listed companies, inflated sales revenue will provide investors with false information about the company's good performance, raise the company's share price and bring illegal income to the company. If the enterprise's inflated income is illegal and the circumstances are serious, it constitutes the crime of falsely reporting registered capital;
3. False increase in income is an illegal act carried out by an enterprise to raise the company's share price, resulting in serious consequences or other serious circumstances, which constitutes a crime of falsely reporting registered capital and is sentenced to fixed-term imprisonment of not more than three years.
The main means of expanding income:
1, fictitious business;
2. Confirm the income in advance;
3. "Evade" related party transactions through third parties.
To sum up, taxpayers should truthfully declare and pay taxes and falsely report their wages, which is also a violation of the Tax Administration Law. Although the tax declaration is not handled truthfully, but it has not caused national tax losses, it will generally not be fined.
Legal basis:
Article 158 of the Criminal Law of People's Republic of China (PRC)
The crime of falsely reporting registered capital applies for company registration, uses false certification documents or adopts other fraudulent means to falsely report registered capital, deceives the company registration authority and obtains company registration. If the registered capital is huge, the consequences are serious or there are other serious circumstances, he shall be sentenced to fixed-term imprisonment of not more than three years or criminal detention, and shall also or only be fined not less than 1% but not more than 5% of the registered capital.
Where a unit commits the crime mentioned in the preceding paragraph, it shall be fined, and the persons who are directly in charge and other persons who are directly responsible shall be sentenced to fixed-term imprisonment of not more than three years or criminal detention.
Article 7 of the Regulations on Punishment of Financial Violations
Financial budget and final accounts preparation department, budget execution department and its staff have one of the following acts in violation of the relevant provisions of the state on budget management, and shall be ordered to make corrections, recover relevant funds, and adjust relevant budget subjects and budget levels within a time limit. Give a warning or informed criticism to the unit. Give warning, demerit or gross demerit to the directly responsible person in charge and other directly responsible personnel; If the circumstances are serious, demotion shall be given; If the circumstances are serious, he shall be dismissed from his post:
(a) inflated or inflated fiscal revenue or fiscal expenditure;
(2) Compiling and approving budgets or final accounts in violation of regulations;
(3) Adjusting the budget in violation of regulations;
(four) in violation of the provisions of the adjustment of the budget level or the type of budget revenue and expenditure;
(five) in violation of the provisions of the use of budgetary reserve funds or misappropriation of budgetary working capital;
(six) in violation of the provisions of the state transfer payment management;
(seven) other acts in violation of the relevant provisions of the state on budget management.