Tax Court of Canada


Income Tax


Appellant used amount borrowed to give gifts to relatives and buy home

Appellant was sole shareholder and director of corporation. In 2000 corporation loaned appellant $5 million. Appellant paid interest on loan but corporation allowed him to keep the capital and made no attempts to recover it. According to appellant corporation forgave loan since corporation was going to be sold to public corporation. In 2002, Minister reassessed appellant and added $5 million to his declared income. Appellant appealed. Appeal dismissed. Even though reassessment was late it was still valid. Appellant did not suffer any prejudice from late reassessment. Appellant used amount borrowed to give gifts to his relatives and to buy home. Commercial debt was not a condition to include amount in appellant’s income.

Remillard v. Canada

(June 29, 2011, T.C.C., McArthur J., File No. 2009-1660(IT)G) Reasons in French. 203 A.C.W.S. (3d) 881 (17 pp.).

cover image

DIGITAL EDITION

Subscribers get early and easy access to Law Times.

Law Times Poll


An Ontario judge is once again calling on the provincial government to fix long waits at assessment offices. Do you think the province needs to step up its efforts to address these delays?
RESULTS ❯