Minister required to show total or partial failure to remit by company

Tax court of Canada | Tax | Income tax | Administration and enforcement

Taxpayer corporation failed to remit amounts withheld from employees for income tax and Employment Insurance. C was manager of taxpayer but in reality had limited powers and had taken position at owner’s request as owner of taxpayer was only customer of C’s business. Minister assessed C for $ 41 193,30 as jointly responsible for unremitted amounts. C appealed. Appeal allowed. Pursuant to s. 227.1(2)(a) of Income Tax Act Minister must show, on balance of evidence, not only that certificate specifying amount was registered in Federal Court, but also that there was total or partial failure to remit by company. Minister’s duty was not displaced by C’s failure to plead noncompliance in modified notice of appeal. Onus on Minister to prove that conditions in s. 227.1(2) met. Proof normally made by court certificate, writ of execution, or nulla bona return by bailiff but none of these were filed in evidence.

Custodio c. La Reine (2018), 2018 CarswellNat 990, 2018 CCI 47, Sylvain Ouimet J. (T.C.C. [General Procedure]).

Free newsletter

Our newsletter is FREE and keeps you up to date on all the developments in the Ontario legal community. Please enter your email address below to subscribe.

Recent articles & video

Walking the talk on accommodating lawyers with disabilities

Rules limiting advice on digital trading platforms could prevent investor protection: report

Ontario Superior Court denies amendment to include correctional officers in inmate assault lawsuit

Ont. Superior Court upholds decision restricting Stratford from outsourcing fire dispatch services

The tale of Umar Zameer's two trials – the criminal court and the court of public opinion

Court of Appeal clarifies how tort of abuse of process interacts with criminal proceedings

Most Read Articles

The tale of Umar Zameer's two trials – the criminal court and the court of public opinion

Rules limiting advice on digital trading platforms could prevent investor protection: report

Court of Appeal clarifies how tort of abuse of process interacts with criminal proceedings

Ontario Court of Appeal dismisses First Nations' appeal over environmental regulation changes