A land flipper who ran for Okotoks Town Council in the 2021 municipal election has been sentenced for failing to report $7.5 million in land sales, intentionally evading more than $643,000 in income tax.
Rodney Potrie was given a conditional sentence of 15 months and fined a total of $643,228 in the Provincial Court of Alberta on March 24.
Potrie pleaded guilty to one count of tax evasion under the Income Tax Act on Nov. 16, 2021.
According to previous reporting by The Wheel, as of August 2021, Potrie had lived in Okotoks for just over three years and resided in Foothills County prior to that.
The municipal planner ran on a platform that highlighted his experience with budgets, development and water proposals, sewer, construction and roads.
“I think I have something to offer to the community of Okotoks,” Potrie told The Wheel in an election profile piece. “I’m a fiscally responsible guy, I think we need to look after the public purse and the budgetary concerns in a responsible way.”
According to the Canada Revenue Agency (CRA), an investigation revealed that Potrie's RAP Designs Inc., purchased 110.94 acres of vacant land in Carstairs in 2008 for $3.12 million.
He then knowingly undertook a series of taxable land transfers and eventually sold the parcel later in 2008 for $7.5 million.
Despite be aware those earnings were taxable, Potrie filed a nil 2008 T22 corporate tax return, failing to report $3,472,962 of income.
It was determined that Potrie intentionally evaded $643,228 in income tax. As part of sentencing, he has been ordered to pay that amount in full.
From April 1, 2020 to March 31, 2021, there were 36 convictions for tax evasion across the country, according to the CRA. More than $5.1 million in fines were imposed relating to these convictions.
Individuals sentenced for wilfully evading income tax payments in excess of $10.9 million. Out of those 36 convictions, 15 people were sent to jail for a total of just over 26 years.
