Toronto (February 10, 2020) – After a CRA investigation, the tax preparer George Nkoke Nnane from Richmond Hill was sentenced for two counts of tax fraud on February 6. The Superior Court of Justice in Toronto sentenced the CEO of Golden Capital Management Inc. (GCMI) to three years in jail on one count of fraud and to 12 months in jail on a second count of fraud to be served concurrently. He prepared individual tax returns for his clients with false claims among other tax-related offenses to evade almost $2 million in total in federal tax between 2009 and 2013.
The CRA announced in an enforcement notification that the Superior Court of Justice in Toronto sentenced the CEO of Golden Capital Management Inc. (GCMI), George Nkoke Nnane, for tax fraud on February 6.
On October 29 of last year, a jury found the tax preparer from Richmond Hill guilty of tax fraud. He is now sentenced to three years in jail on one count of fraud and to 12 months in jail on a second count of fraud to be served concurrently, which equals a three-year term in prison.
Tax preparer conducted tax fraud
A CRA investigation revealed that Nnane prepared individual tax returns for his GCMI clients with false claims. He added false charitable donations credits as well as fictitious business and rental losses. In doing so, he evaded a total of $1,971,212 in federal tax between 2009 and 2013.
Furthermore, GCMI did not report net income amounting to $503,138 on its corporate income tax returns for the taxation years between 2009 and 2013. According to the CRA, for the quarterly filing periods from 2009 to 2013, he failed to remit goods and services tax and harmonized sales tax of in total $52,701.
For the five-year period between April 1, 2014, and March 31, 2019, the courts convicted 25 tax preparers and tax promoters for tax evasion, both personally and for actions on behalf of clients. The courts sentenced the tax fraudsters to a total of $2.5 million in fines and 38 years of jail time.
Persons convicted of tax evasion will face fines ranging from 50 percent to 200 percent of the evaded taxes and up to five years imprisonment. If convicted of fraud under Section 380 of the Criminal Code, an individual can face up to 14 years in jail.
Marina Burghard writes for Canadian Fraud News about fraud-related cases, whistleblower, jurisdiction, identity theft, consumer protection, etc. – essentially about scams and how to protect yourself against this kind of fraudulent criminal behavior. She holds a Master’s degree in Political Science where her interest in criminology grew. Besides fraud, Marina’s scientific interest lies in terrorism, extremism and how to deal with it as a society.