There was third party evidence of taxes, interests, costs and insurance expenses

Tax - Income tax - Business and property income

Taxpayer owned bed and breakfast (B&B) business and had failed to file income tax returns for taxation years 2009 to 2015. Taxpayer no longer owned B&B business, nor property from which business was operated, as it was subject to mortgagee’s final order of foreclosure. Minister assessed taxpayer as non-filer and ascribed gross income of $30,000 for each assessed year. Taxpayer appealed. Appeal allowed. There was third party evidence of taxes, interests, costs and insurance expenses incurred by taxpayer for each assessed year based on mortgagee’s summary judgment motion of 2016. It was concluded that 50 per cent deduction of these expenses were business related and should be allowed, and taxpayer’s net business income was alternatively assessed and net business income reduced. Accordingly, appeal was allowed regarding net business income calculations of B&B business and any concordant adjustments to CPP premiums and other amounts of interest relating to tax owing.

Wilson v. The Queen (2019), 2019 CarswellNat 504, 2019 CarswellNat 550, 2019 TCC 42, 2019 CCI 42, Randall S. Bocock J. (T.C.C. [Informal Procedure]).

Case Law is a weekly summary of notable civil and criminal court decisions by the Supreme Court of Canada, the Federal Court of Canada and all Ontario courts. These cases may be found online in WestlawNext Canada. To subscribe, please visit store.thomsonreuters.ca

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

Failure of Ontario to ‘conduct and manage’ online gaming makes iGaming system illegal, says lawsuit

OCA orders new trial for accused whose lawyer ‘conscripted him into assisting his own prosecution’

Ontario Securities Commission welcomes Kevan Cowan as new chair

LSO opens applications for Legal Aid Ontario board, federal judiciary advisory committee

Appeal from certification order in bread price-fixing class action quashed

Stay refused for mother seeking to relocate child from Milton to Sarnia

Most Read Articles

Court awards 24 months’ notice to Air Canada employee terminated as part of COVID layoff

OCA orders new trial for accused whose lawyer ‘conscripted him into assisting his own prosecution’

LSO Convocation approves license proposal for non-lawyer family legal services providers

Recent ruling a 'cautionary tale' for start-ups, says IP lawyer