[Case Summary]This case is a criminal defense case for the crime of forging invoices for value-added tax. The actual controller of A Company arranged for personnel to accept 43 invoices for value-added tax without real business transactions, with a total price and tax amount of 4,232,600 yuan and a tax amount of 239,581.24 yuan. The relevant responsible person, Z*, was detained criminally and then released on bail pending trial. Beijing Henglu Law FirmWang Chao RanThe lawyer intervened and argued that Z *'s crime was minor, that he had paid all the taxes due, made a truthful confession, and surrendered himself voluntarily. The procuratorate accepted these arguments and decided not to prosecute him, considering that he had committed the relevant acts under the Criminal Law but the circumstances of the crime were minor, he had voluntarily admitted his guilt and accepted the punishment, and the unit had already paid the taxes due. Key disputes: determination of the amount of false invoices and application of the principle of non-prosecution for minor crimes. Applicable laws: Articles 30, 31, 205, 37, and 67 of the Criminal Law of the People's Republic of China; Article 15 of the Criminal Procedure Law.

I. Review of the case

"How is the crime of falsely issuing VAT invoices punished?", "How much does one need to falsely issue invoices to face criminal punishment?", and "Can one avoid prosecution by making up for the unpaid taxes?" are frequently searched terms by enterprises and responsible persons. In 2022, Q * (the actual controller of A Company) arranged for Z * (the financial supervisor) and W * (the HR manager), introduced by Y *, to accept 43 VAT invoices from Beijing B Company (with no real business transactions), with an invoice amount of 3,993,018.76 yuan, a tax amount of 239,581.24 yuan, and a total price and tax amount of 4,232,600 yuan, all of which had been authenticated and deducted. In 2024, Z * was criminally detained by Haidian Branch for the suspected crime of falsely issuing VAT invoices, and later released on bail pending trial by the procuratorate. After appearing in court, Z * truthfully confessed, and A Company made up for the unpaid taxes, including VAT and surtax, totaling more than 360,000 yuan. After the case was transferred for review and prosecution, Hengluo Law Firm handled the case.Wang Chao RanThe lawyer defended Z * on the grounds that his crime was minor, he made up for the losses, gave a truthful statement, and surrendered himself to the police.

II. The focus of the case

  • Focus 1: The amount and consequences of falsely issuing special VAT invoices.43 invoices, with a tax amount of 239,581.24 yuan and a total price and tax amount of 4,232,600 yuan, have all been offset against the tax liability.
  • Focus II: Does Z * have mitigating circumstances such as voluntary surrender, pleading guilty, and making up for the arrears?I made a truthful statement, and my unit has paid all the taxes in arrears. I am willing to plead guilty and accept the punishment.
  • Focus 3: Can the principle of not prosecuting for minor criminal offenses be applied in this case?Combining Article 37 of the Criminal Law and Article 15 of the Criminal Procedure Law, we will strive for a conditional non-prosecution.

III. The professional intervention of Hengluo Law Firm

The party involved (the suspect) claimed that:Z某 and his family hope not to be held criminally liable. They argue that Z某's crime is minor, that he has paid all the taxes due, made a truthful confession, and has the circumstances of voluntary surrender and admission of guilt, so they are seeking a non-prosecution decision.

The position of the prosecution (the investigating authority):The investigation and prosecution authorities pay attention to the scale of the tax amount involved in the false invoicing of VAT special invoices, whether the invoices have been authenticated and deducted, and the loss of national taxes. They review whether to prosecute according to the law.

Hengluo Lawyer's Agency Opinion:Wang Chao RanThe lawyer analyzed the case through reviewing the case file, and defended Z * based on the circumstances that Z *'s crime was minor, actively made up for the losses, truthfully confessed the fact of false invoicing, and surrendered voluntarily, with no subjective malice or motive. The lawyer pointed out that the involved unit had paid all the taxes, and Z * voluntarily pleaded guilty and accepted the punishment, which met the conditions for lenient treatment. According to Article 37 of the Criminal Law and Article 15 of the Criminal Procedure Law, the lawyer suggested making a decision of non-prosecution for the minor crime of Z *.

IV. Outcome of the case

After reviewing and adopting the defense attorney's opinion, the procuratorate found that the defendant committed the acts stipulated in Articles 30, 31, and 205 of the Criminal Law, but the circumstances of the crime were minor, and the defendant voluntarily confessed his guilt and accepted the punishment. The involved unit has already made up for all the taxes. According to relevant laws and regulations, the procuratorate decided to issue a non-prosecution decision against Z*. The defendant was exempted from punishment and regained his freedom. This result highlights the value of intervening as early as possible and striving for non-prosecution during the review and prosecution stage.

5. Henglu Law Firm's Advice

This case is handled by Beijing Henglu Law FirmWang Chao RanAttorney (Practice Certificate No.: 11101202210415037, subject to the document issued by the judicial administrative organ). Beijing Henglu Law Firm specializes in criminal defense, land expropriation and demolition, marital and family affairs, real estate disputes, creditor's rights and debts, and other litigation and non-litigation fields. The firm always maintains the legitimate rights and interests of clients with a professional, rigorous, and responsible attitude.

VI. Common Questions about the Crime of Falsely Issuing Special VAT Invoices FAQ

  1. Q: What are the penalties for the crime of falsely issuing VAT invoices?
    A:According to Article 205 of the Criminal Law, anyone who fraudulently issues invoices for a large amount of tax or under serious circumstances shall be sentenced to fixed-term imprisonment of not less than three years but not more than ten years; anyone who fraudulently issues invoices for a huge amount or under particularly serious circumstances shall be sentenced to fixed-term imprisonment of not less than ten years or life imprisonment; and for unit crimes, the unit shall be fined and the directly responsible personnel shall be sentenced to criminal punishment.
  2. Q: What is the tax amount required to constitute a case of false invoicing?
    A:The relevant judicial interpretation stipulates that if the amount of tax fraud is more than 50,000 yuan, the case shall be filed for prosecution. In this case, the tax amount of more than 230,000 yuan has far exceeded this threshold.
  3. Q: Can I still avoid being prosecuted if I make up for the unpaid taxes?
    A:After making up for all the taxes and recovering the state's losses, and considering the minor nature of the crime, the voluntary admission of guilt and punishment, and the surrender of the suspect, the procuratorate may make a decision of relative non-prosecution in accordance with Article 37 of the Criminal Law. This case falls into this category.
  4. Q: Who should bear the responsibility for the crime of false invoicing committed by a unit?
    A:Where a unit commits this crime, the unit shall be fined, and its directly responsible person in charge and other directly responsible persons shall be investigated for criminal responsibility in accordance with the law, implementing the dual punishment system.
  5. Q: At what stage is it best to hire a lawyer if you are suspected of issuing false invoices?
    A:The earlier, the better. If the case can be withdrawn at the investigation stage or the defendant can be acquitted at the review and prosecution stage, it will be most beneficial to the defendant. In this case, the defendant was acquitted at the review and prosecution stage.