So in Sweden a very realistic scenario in this case is that this guy goes to prison for half a year. During that time the tax authority decides he owes 100000 USD in taxes, and 100000 USD in "extra taxes". Whether he has the money or not is irrelevant. If it's more than he made, that's irrelevant. And the interest on those 200000 USD is 18.75%.

Also, you can't declare personal bankruptcy in Sweden, so this guy is essentially turned into a slave of the government: whatever money he makes is taken from him, except for a very small amount necessary to "exist". If he is a good slave for five years, his debts can be discharged. If not, then he's stuck in this situation forever. It's game over, economically.

Also, Sweden probably has a more efficient "bailiff authority" (Kronofogdemyndigheten) than most countries. So game over really is game over. They will come to your home, with the police if necessary, and take everything of value there.

This might be a bit of silly question: but if someone were to “stand their ground” and try to defend themselves (with weapons they somehow obtained / 3D-printed / etc.) I imagine the Swedish authorities also wouldn’t hesitate in gunning that person down, right?

This especially bites you in the states with mandatory universal health insurance scheme. The payment is based on your income in a given month/year - e.g. 30%. If you can't pay, your problem... Then, since you're in debt, they are not paying for your treatment. And there is no way to get out-of-the-system private health insurance, it simply doesn't exist. Hospitals have to treat you but the full price of treatment is added to your debt, no discounts are possible. People from the US never realize there are dark parts of the universal healthcare systems too. At least you can bankrupt out of your hospital debt in the US.

This is the reason why people just don't start business here. As an employee you're "safe" - the employer deducts your insurance payment from your wage and that's it, you're not investing into anything, not planning any cashflow.

I think their point is precisely that this Chinese case might be more similar rather than different to the rest of the world.

> (such a fine of 100k is probably on the higher end for most places though)

In neither the Chinese case nor on the Swedish case does it seem to be a fine. It's rather a confiscation of illegal earnings, which is then followed by an actual fine.

I used to have my life in serious disorder and they confiscated the owed tax three times from me. Never got fined more than $100, though I had to call and apologize the second and third time to have it reduced from ~$500.

But the higher fines/criminal charge are usually for very, very egregious failures to pay