Enforcement Notification - Tax evasion - Three residents of Ontario's Golden Horseshoe sentenced for tax evasion

BRAMPTON, ON, Feb. 9, 2022 /CNW/ - The Canada Revenue Agency (CRA) announced today that Michael Simonelli of Stoney Creek, Ontario, Attilio Montaleone of Oakville, Ontario, and Raffaele Simonelli of Mississauga, Ontario, pleaded guilty to one count each of tax evasion under the Income Tax Act and were sentenced on January 19, 24, and 25, 2022, respectively, in Brampton's Ontario Court of Justice. Fines were issued to these individuals in the following amounts: Michael Simonelli $50,000, Attilio Montaleone $217,368, and Raffaele Simonelli $90,000.

A CRA investigation revealed that these three individuals wilfully evaded a total of $201,148 in federal income tax by failing to report a combined taxable income of $661,608 in their 2018 individual income tax returns.

All case-specific information noted above was obtained from court records.

The CRA would like to thank the Ontario Provincial Police (OPP) for their instrumental role in the success of this case. The CRA's investigation stemmed from an OPP-led investigation into the illicit activities of an organized crime network.

Tax evasion is a crime. Falsifying records and claims, wilfully not reporting income, or inflating expenses can lead to criminal charges, prosecution, jail time, and a criminal record. The CRA has reinforced partnerships whereby investigators work closely with various law enforcement agencies on Joint Forces Operations (JFO). As of March 31, 2021, the CRA had 31 ongoing JFOs with other law enforcement agencies. Working with our domestic and international partners, the CRA shares knowledge, expertise, and best practices and identifies tax schemes and their participants.

In addition to court imposed fines and/or jail sentences, convicted taxpayers have to pay the full amount of tax owing, plus related interest and any penalties assessed by the CRA.

The CRA is dedicated to maintaining the integrity of Canada's tax system, thereby contributing to the social and economic well-being of Canadians, particularly during these unprecedented times. The CRA continues to aggressively pursue tax evasion and false claims with all tools available to it. The CRA works to ensure that individuals and businesses report all income earned and only claim benefits to which they are entitled, so that important benefit programs can be administered to those who need them. Any individual or business who underreports income, or claims losses or benefits to which they are not entitled, including ineligible claims for COVID-19 benefits, may have to repay the benefit amounts and may be subject to other possible action.

Associated Links
Leads Program
Voluntary Disclosures Program

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SOURCE Canada Revenue Agency

Contacts: Paul N Murphy, Senior Communications Advisor, 416-952-8105, [email protected]