Former London Executive Convicted of Tax Evasion

LONDON, ONTARIO--(Marketwired - Oct. 9, 2013) - The Canada Revenue Agency (CRA) announced today that Rob Roy McGregor of London, Ontario, was sentenced on October 4, 2013, in the Ontario Court of Justice in London, Ontario, to a fine of $80,000. On March 15, 2013, McGregor pleaded guilty to three counts of tax evasion. The fine is in addition to any taxes owed, as well as any interest and civil penalties that may be assessed by the CRA.

McGregor, a chartered accountant and former vice president of finance and administration for a London-area tool and mould company, failed to report a total of $475,251 in taxable income and benefits received from his former employer in 2000, 2001 and 2002. In doing so, he evaded a total of $136,931 in federal income taxes.

The preceding information was obtained from the court records.

"Canadian taxpayers must have confidence in the fairness of the tax system," said Vince Pranjivan, Deputy Assistant Commissioner of the Ontario Region of the CRA. "To maintain that confidence, the CRA is determined to hold tax evaders accountable for their actions."

When individuals are convicted of income tax and GST evasion, they must still 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 website 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.