« Double » punishment for tax evasion is permitted

A member of the board of directors was responsible for the fact that construction vehicles were rented from companies owned by him at excessive amounts. The board of directors was fined for tax evasion for this hidden profit distribution.

At the same time, the tax authorities also investigated the managing director of the sole proprietorship for aiding and abetting tax evasion and fined him.

The Board of Directors appealed against this to the court on the grounds that no one should be convicted twice for the same offence.

The Federal Supreme Court rejected the appeal. It pointed out that if a legal entity is convicted of tax evasion, the bodies or representatives acting on its behalf could also be penalised for participation. The principle that no one could be convicted twice for the same offence was not violated.

An company and its board members are different legal subjects, which is why the penalties imposed here would affect different persons. (Source: BGE 2C_872/2021 of 02.08.2022).