Wednesday, 18 July 2018



For Canadians With Unfiled Tax Returns

For Canadians With Unfiled Tax Returns - 4.3 out of 5 based on 10 votes

( 10 Votes )

According to a recent press report by Ufile, 45% of Canadians find tax return preparation to be stressful.

The startling outcome of the report, however, was that 13% of all Canadians polled said they know someone who has not yet filed their tax return for the previous year.

Frankly, that's a problem - and not for the TaxMan. Under sections 238(1) and 239(1) of the Canadian Income Tax Act, not filing a return, filing more than one year late if tax is due, or failing to declare taxable income from any source, is a criminal offense punishable by jail time and huge financial penalties.

The Full Story...

Beware New Search Bot in Your Website Logs - It’s the TaxMan

Beware New Search Bot in Your Website Logs - It’s the TaxMan - 5.0 out of 5 based on 1 vote
( 1 Vote )

"Websites around the world are getting a new computerized visitor among the Googlebots and Yahoo web spiders: The TaxMan. A five-nation tax enforcement cartel has been quietly cracking down on suspected internet tax cheats, using a sophisticated web crawling program to monitor transactions on auction sites, and track operators of online shops, poker and porn sites."

Wired News, January 25, 2007

eye_spy500.jpgThe program, named “Xenon” in reference to the auto headlights that light up dark places, started in the Netherlands in 2004 and has been expanded with the assistance of Amsterdam-based data mining firm Sentient Machine Research.

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Press Release from the Government of Canada

Press Release from the Government of Canada - 5.0 out of 5 based on 1 vote

( 1 Vote )

A Press Release issued from the Government of Canada, back in June 7, 2006:

Alert: Tax evasion has consequences!

Paying the taxes you owe is not only your responsibility – it's the law.The Canada Revenue Agency (CRA) uses many tools to identify those who fail to file an income tax return, register their business account, or provide the CRA with complete and accurate information.The CRA has the authority under the Income Tax Act and the Excise Tax Act to use a number of tools to get delinquent filers to comply, including civil and criminal prosecution that can lead to fines, penalties, and even jail.Don't let it happen to you!

If the CRA suspects that you failed to meet some or all of your tax obligations, it may decide to conduct an audit. Once this audit is completed, and if an adjustment is required, the CRA will send you a Notice of Reassessment. If you do not pay any amount owed, plus applicable interests and penalties, CRA collections officers will take action to collect it and any interest and penalties that apply.

If you do not file the required returns and statements, the CRA can also seek a court order for you to comply. Alternatively, the CRA can recommend to the Department of Justice that you be prosecuted for failing to file the required returns and statements.

On summary conviction, the court may fine you 50% to 200% of the tax evaded and sentence you to a jail term of up to two years. When proceeding by indictment, the court may fine you 100% to 200% of the tax evaded and sentence you to a jail term of up to five years.

In cases of gross negligence, the Income Tax Act and Excise Tax Act allow the CRA to also assess a penalty of up to 50% of the unpaid tax or the improperly claimed benefit.

The CRA publicizes court convictions to maintain confidence in the integrity of the self-assessment system and as a deterrent to increase compliance with the law. The information released to the media comes only from court records and not from confidential information held by the CRA.

If you wish to come forward and correct previously omitted or erroneous information, you can do so through the CRA's Voluntary Disclosures Program. If you make a full disclosure before any compliance action or investigation is started, you may only have to pay the taxes owing plus interest.


Wonder Why “The Agency” Hasn't Caught You Yet?

Wonder Why “The Agency” Hasn't Caught You Yet? - 5.0 out of 5 based on 1 vote

( 1 Vote )

It's only a matter of time.

If you’re chearing on your taxes, and the CRA isn’t after you, don’t think you’re safe. It’s only a matter time of before the Agency tracks you down.

Why haven’t they found you yet? Simply put, the Canada Revenue Agency presently lacks the human resources to process the "dead" data they have on millions of Canadians. But the situation could change at any time.

The Full Story...

Get It In Writing

A simple way to test anyone who says you don’t need an experienced tax lawyer to clean up your failure to file and/or tax evasion.

"It’s all talk..." This common expression refers to the fact that oral representations disappear, but the written word stays. In a court of law, the difference between "talk" and a written statement as evidence is enormous—for obvious reasons. When it comes to interpreting the Income Tax Act, taxpayers need to remember the difference between talk and a written statement. If a financial or other trusted advisor tells you that there is no criminality involved in your tax transgressions, don’t take their word for it. Get their opinion in writingBEFORE you follow their advice. Here’s why:

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Electronic Tip-Offs: The Chink In Your Armour

Electronic Tip-Offs: The Chink In Your Armour - 5.0 out of 5 based on 1 vote

( 1 Vote )

Here’s a serious warning for people who play fast and loose with the truth when reporting their income on a tax return. No matter how smart you think you are, there is no way in today’s world you can avoid your spending habits being registered somewhere. Every time you use a credit card, debit card or even a discount card, the information is finding its way to a data base. These records of your spending habits can be linked to form a single file regarding your financial history such as where you travel, what restaurants you dine in, or the car(s) you drive—basically everything you buy and everyone with whom you deal. If it doesn’t reasonably match another database regarding, let’s say, income earned per annum, a flag is raised. Know anybody who might be interested in comparing life style expenses to income reported or not in Canada? You guessed it, the Canada Revenue Agency.



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Tax Amnesty, Voluntary Disclosure, You Think?

Tax Amnesty, Voluntary Disclosure, You Think? - 5.0 out of 5 based on 2 votes

( 2 Votes )

Over the past year, there have been a few professionals equating outright a tax amnesty with the Government voluntary disclosure program. The reasons for this vary but they all have something in common. They all deal with tax evasion on an administrative rather than legal basis. Simply put, they are all sounding boards and promoters of Government policy and lack any legal analysis or content in what they say and represent to the public. They forget, particularly those of combined accounting and legal training, what matters above all for a lawyer, is their client’s rights under law. They forget the differences between a voluntary disclosure POLICY and the protection of the client’s rights in the legal sense. Most importantly, they forget that they are dealing with criminal activity.



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Smile! The tax man is watching you.

Smile! The tax man is watching you. - 5.0 out of 5 based on 1 vote


( 1 Vote )

There’s no question we all feel that we pay too much tax. But that’s never stopped our federal and provincial governments from seeking out new ways to prevent you from keeping more of your money in your wallet. Their latest initiative is a carefully targeted stealth campaign that uses lifestyle audits to assess your spending – where you live, how often you travel, what type of car you drive, how many big ticket purchases you make in a year – and then compare it to your declared income to see if it all adds up. If they think it doesn’t, you could suddenly find yourself in the middle of an investigation for criminal tax evasion.


The Full Story...

How to choose your tax help in Canada

How to choose your tax help in Canada - 4.7 out of 5 based on 7 votes

( 7 Votes )

There's the Canada Revenue Agency and the folks who help prepare your taxes. Do they work for you or for the CRA? You decide.


DioGuardi Amnesty vs. the Back Taxes Trap

DioGuardi Amnesty vs. the Back Taxes Trap - 5.0 out of 5 based on 1 vote

( 1 Vote )

Back taxes, unfiled taxes and late taxes with Canada Revenue are all things some tax gurus, and even lawyers and accountants claim they can fix with a simple tax amnesty or voluntary disclosure to the Taxman. Tax lawyer Philippe DioGuardi explains the fallacy of this argument and why the DioGuardi Amnesty approach prevents you from falling into the tax trap these 'gurus' can lead you into. Find out why and free yourself.



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