OSHAWA, ONTARIO--(Marketwire - July 19, 2011) - On July 14, 2011, Yasmena Hamid, and ACCTAX Services, pleaded guilty in the Ontario Court of Justice in Oshawa to fifty counts of violations under the Tax Rebate Discounting Act (TRDA).

In 2007, Hamid, Administrative Manager of ACCTAX Services, who was responsible for the day-to-day operation of the business which included preparing Income Tax Returns, E-Filing and discounting tax returns, overcharged fees for a total of $10,609 on individual T1 tax returns that had been discounted. Both Hamid and the company were fined $500 per count for a total fine of $25,000. As well, full restitution to all 199 clients for excess fees was required. Both fine and restitution represents 336% of the total excess fees collected under the TRDA. These fines were paid immediately.

A Canada Revenue Agency (CRA) investigation revealed that ACCTAX and Hamid overcharged fees for a total of $10,609 on individual T1 tax returns that had been discounted in 2007. As a result, ACCTAX Services violated the TRDA.

The TRDA is administered by the CRA and regulates the practice of tax discounting in Canada. Under the TRDA, the Discounter must pay the client their full income tax refund, less the prescribed discounting fee, and provide the Statement of Discounting Transaction (RC71) to their client on the same day that the Discounter acquires the right to file the client's Income Tax return.

The information in this news release was obtained from the court records.

Individuals who have not filed returns for previous years, or who have not reported all of their income, can still voluntarily correct their tax affairs. They will not be penalized or prosecuted if they make a valid disclosure before they become aware of any compliance action being initiated by the CRA against them. These individuals may only have to pay the taxes owing, plus interest. More information on the Voluntary Disclosures Program (VDP) can be found on the CRA's website at www.cra.gc.ca/voluntarydisclosures.

Further information on convictions can also be found in the Media Room on the CRA website at www.cra.gc.ca/convictions.

Contact Information:

For media information:
Nona Larrett
Manager, Communications