Teo Kiok Seng, 45, was director of United Team Enterprise between November 1996 and July 2003 when he allegedly made false entries of 'input tax' in the company's goods and services tax returns.

Input tax is the amount of GST incurred on purchases made by the company.

From August 2003 to May 2007, while he was the trading company's accountant, Teo allegedly made similar false entries with the intent to help the company evade tax.

The total amount of unpaid input tax was about $1 million.

Teo, who was represented by Mr Lim Swee Tee, was offered bail of $20,000. His case will be mentioned next Friday.

If convicted, he faces a fine of up to $10,000 and/or a jail term of up to seven years on each charge.

In addition, he will be ordered to pay a penalty of three times the tax undercharged.