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Court

Tax evasion charges lead to fine, conditional sentence for Grande Prairie restaurant owner

Jan 21, 2020 | 5:27 PM

Tax charges have led to a heavy fine and a conditional sentence against a Grande Prairie restaurant owner.

The Canada Revenue Agency says in a news release that Balasem Salame, the owner of Twister’s Donair Pizza and Pasta, was handed a conditional sentence of two years less a day plus a fine of $747,887 Friday in an Edmonton court.

Twister’s was charged in 2017 with 17 counts of making false statements under the Excise Tax Act and eight more of making false or deceptive statements in a return under the Income Tax Act.

Quoting court documents in that same release, the CRA says Salame did not report all of the restaurant’s income or send in GST for the 2008 through 2013 tax years. The release also says there were two bank accounts kept for the business, but records for only one were given to the restaurant’s accountant. This meant there was evasion of $400,000 in corporate income tax and $250,000 in GST.

The Revenue Agency goes on to say Salame took cash from the restaurant, and from the second bank account, for his personal use and that money was sent to offshore accounts. This meant evasion of another $400,000 in personal taxes.

Conditional sentences are usually served in the community and consist of house arrest with conditions. Two years less a day is the longest term that can be served this way.

Twister’s has locations in Grande Prairie and Fort St. John.