William Mori of Niagara-on-the-Lake, Ontario, was convicted of tax evasion for participating in the discredited Paradigm tax evasion scheme and was sentenced to four months in jail for and a fine of $168,235. Mori participated in a what amounts to a tax protestor or de-taxer franchise of Paradigm Education Group that promotes the tax fraud concept of a "natural person" that has been rejected numerous times by many courts in Canada. The Paradigm tax evasion system works by charging a fee to Mori of 7% of his unreported income. In exchange for this tax fraud fee a Paradigm "educator" coached Mori on how to employ Paradigm's court rejected theory that as a "natural person" he could receive income that was exempt from Canadian income tax. Participants in tax protest or de-taxer schemes such as that promoted by Paradigm can speak to one of our experienced Canadian tax lawyers to submit a voluntary disclosure application to CRA to avoid tax penalties, tax fines and tax prosecution if CRA has not begun a tax audit.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.