CRA: GST Fraud Results in Jail Time for a Hamilton Resident

TORONTO, ONTARIO--(Marketwire - July 4, 2008) - Samuel Paul, of Hamilton, was fined $48,914 on June 26, 2008, in the Ontario Court of Justice in Toronto after being found guilty on November 30, 2007, to three counts of GST fraud. He also received a 12-month jail term. The fine is in addition to any taxes and interest owed, as well as any civil penalties that may be assessed by the Canada Revenue Agency (CRA). A CRA investigation revealed that, for reporting periods in 1997 and 1998, Mr. Paul, operating as Tough Management, submitted fraudulent invoices and receipts to obtain GST refunds totalling $51,200. During that same time, Mr. Paul, operating as Oblivion Records/Globe Management, unsuccessfully attempted to obtain an additional $47,246. Taxpayers who claim false expenses, credits or rebates from the government are... [read full story]