Vancouver, British Columbia, November 25, 2004... Former Delta resident Clifford Bulua, who now lives in New Brunswick, was sentenced to two and a half years in jail, and fined a total of $415,603 in Vancouver Provincial Court yesterday, after being found guilty of two counts of income tax evasion. Bulua was fined $27,712 for income taxes evaded in 1995, and $387,891 for 1996. The fines represent 100% of the federal income taxes that Bulua evaded. If he fails to pay the fines by December 2009, Bulua could face an additional six months in jail for each of the two counts. During 1995 and 1996, Bulua was a partner in a lucrative telemarketing operation that sold Spanish and Australian lottery tickets to U.S. residents. A Canada Revenue Agency (CRA) audit revealed that Bulua had not reported any of his earnings from the telemarketing operation in his tax returns. Subsequent investigation determined that Bulua failed to report $1,329,801 in income in his 1995 and 1996 tax returns. During the 1996 taxation year, CRA found that Bulua also failed to report $37,500 in capital gains that he earned from selling a portion of his partnership interest in the business. "Canadians have to be confident that the tax system is fair," said John McCallum, Minister of National Revenue. "People who evade taxes are in fact shifting the tax burden to the rest of us. The Canada Revenue Agency will use its resources to ensure that a few do not penalize the majority of Canadians who pay their taxes," continued the Minister. In addition to fines imposed by the court, people found guilty of tax evasion still have to pay the taxes they attempted to evade, interest, and penalties imposed under the Income Tax Act. Individuals or corporations who have not filed tax returns for previous years, or have not reported all their income, can correct their tax affairs through the voluntary disclosure program. They will not be penalized or prosecuted if they make a full disclosure before the CRA starts any action or investigation against them. These individuals and corporations will only have to pay the taxes owing, plus interest. Last year, more than 5,000 Canadians took advantage of the voluntary disclosure program and repaid $288 million in back taxes to the CRA. To learn more about the program visit www.cra.gc.ca For media information
