Former bankrupt Joondalup gynaecologist Iain Andrew Russell slapped with $50,000 fine for failing to lodge tax returns

A former bankrupt doctor has been slapped with a $50,000 fine for failing to lodge tax returns for five years. Joondalup City Medical Group gynaecologist Iain Andrew Russell, 75, pleaded guilty to 32 charges of failing to provide tax returns to the Australian Taxation Office at Perth Magistrates Court. The ATO wrote off Dr Russell’s unrecoverable tax debt of $1.7 million when he was declared bankrupt in August 2010. He was convicted of failing to send returns in 2005, 2006 and last year. Magistrate Joe Randazzo said he could not understand how an “apparently intelligent man” would not get assistance for the returns that were set to be completed between 2013 and 2017. Mr Randazzo said sentencing Dr Russell was difficult because there was no prescribed jail term in the law and his financial situation. “The reality is you’ve been made bankrupt, and have a mountain of outstanding debt,” Mr Randazzo said. He said Dr Russell had a “defiance” of his tax obligations that the rest of society maintained to keep the nation funded. ATO lawyer Joe Russo said Dr Russell had failed to provide returns and GST quarterly reports in the five-year gap, despite repeated requests and orders. The returns related to income of $159,200, GST charges of $135,000 and $24,200 in income tax. Mr Russo said a community-based work order could be the best punishment. Dr Russell said treatment for cancer in 2013 and 2014 caused him not to send a return, and the failure to do so “compounded” afterwards. “There is no excuse, your honour,” he said. In addition to the fine, Dr Russell was ordered by the court to send both his income and GST returns within two months.