Fictitious Invoices

The Tax Authority arrested a brother and sister suspected of running a sophisticated network of shell companies, whose sole purpose was the distribution and offsetting of fictitious invoices in unprecedented volumes for various companies.

According to the suspicion, a construction company owner from the center of the country deducted fictitious invoices through his company totaling approximately 26 million shekels, while offsetting input tax of about 4 million shekels. After being questioned by the Tax Authority, he was released under restrictive conditions.