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.

Contrary to what you might think, if you don’t file your tax return, the Canada Revenue Agency doesn’t forget about you. In fact, you are never entirely “off the radar” . They prefer to monitor your financial behaviour over time, using identifiers like your SIN or date of birth to access data from your bank accounts, your credit card transactions, or your acquisition of property and other possessions. The longer they let you continue as a non-filer, the more revenue they can generate in penalties and daily interest on the tax you should have paid. And the longer the period of tax delinquency, the easier it is to establish a clear cut case for criminal tax evasion.

If you are convicted of criminal tax evasion, penalties can be as much as 250% of the tax owing, plus daily interest. A jail term of up to two years is also possible. And you will have a criminal record for the rest of your life.

This message is short and to the point: If you are a non-filer, you need to protect yourself against criminal prosecution by seeking legal protection immediately. Whatever you do, do NOT file your 2006 tax return, or any of your other outstanding tax returns, until an experienced tax lawyer has negotiated a tax amnesty settlement on your behalf.

DioGuardi Tax Law negotiates more tax amnesty settlements than any other firm in Canada. As lawyers, we can guarantee you the full protection of lawyer-client confidentiality. Accountants, or any other tax preparer, cannot offer you this protection and may even be compelled by Revenue Canada to present evidence against you. That’s important for you to know.

If you have unfiled tax returns or undeclared income, you need to protect yourself today.
You can call DioGuardi Tax Law toll-free at 1.877.829.7902. Or click here to request a free online assessment of your situation. Act now – before the TaxMan calls you.