Question: Is fraud, in order to not pay taxes. permissible?
Answer: Fraud is not from the ways of the Shariah and from another angle, taxes are not legislated in Islam except in necessity- as came in the previous question. However it is not allowed for the Muslim to tread a path in contrary to the established system. If his behavior is this [fraud] it will be a stain on the religious Muslims. This stain will move subsequently to the religion itself.
[Taken from Fataawa al-‘Emaaraat no. 71]
Translated by Faisal ibn Abdul Qaadir ibn Hassan