The Canada Revenue Agency (CRA) announced on May 21 that on May 15, 2013, Douglas W. Gray of Mississauga, Ontario, pleaded guilty in the Ontario Court of Justice in Toronto, to a total of 10 counts of failing to file GST/HST returns. He was fined a total of $10,000. The fine must be paid within 18 months.
Gray, an accountant, was fined $1,000 per count for failing to file 10 quarterly GST/HST returns from January 1, 1998 to June 30, 2000. All outstanding GST/HST returns have since been filed.
The preceding information was obtained from the court records.
When taxpayers or corporations are convicted of failing to file tax returns, in addition to any fines imposed by the courts, they are still obligated to file the outstanding tax returns and pay the full amount of taxes owing, plus interest, as well as any civil penalties that may be assessed by the CRA.
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.