Canada Revenue Agency

Canada Revenue Agency

June 11, 2013 11:44 ET

Accounting Sub Contractor Fined for Tax Evasion

TORONTO, ONTARIO--(Marketwired - June 11, 2013) - The Canada Revenue Agency (CRA) announced on June 5, 2013 that Edward G. Gilmore of Scarborough, Ontario, pleaded guilty in the Ontario Court of Justice in Toronto to one count of tax evasion and was fined $13,702.

The CRA investigation revealed that for the years 2005 to 2008 Mr. Gilmore understated his business income by $145,794. The understated income related to contract work done for an accounting firm and from the preparation of income tax returns. By doing so Gilmore avoided paying $27,405 in federal taxes.

The preceding information was obtained from the court records.

When taxpayers are convicted of income tax and GST evasion, they still must repay the full amount of taxes owing, plus interest and any civil penalties that may be assessed by the CRA. In addition, the court may fine them up to 200% of the taxes evaded and impose a jail term of up to five years.

Taxpayers who have not filed returns for previous years, or who have not reported all of their income, can still voluntarily correct their tax affairs. They may not be penalized or prosecuted if they make a valid disclosure before they become aware of any compliance action being initiated by the CRA against them. These taxpayers may only have to pay the taxes owing, plus interest. More information on the Voluntary Disclosures Program (VDP) can be found on the CRA's Web site at www.cra.gc.ca/voluntarydisclosures.

Further information on convictions can also be found in the Media Room on the CRA website at www.cra.gc.ca/convictions.

Contact Information

  • Sam Papadopoulos
    Communications Manager
    416-952-8096