Précis: CRA assessed the Vine Estate for failure to report recapture (roughly $2,000,000) on the “Victoria Park” property owned by the late Mr. Vine. The Estate appealed to the Tax Court on the basis that the assessment was statute-barred.Vine Estate v. R. - FCA: Failure to report recapture negligent - statute-barred year openedREAD MORE »
Tax Court of Canada Judicial Appointments Announced The Honourable Peter MacKay, P.C., Q.C., M.P. for Central Nova, Minister of Justice and Attorney General of Canada, today announced the following appointments:Two Tax Court of Canada Appointments: Justice Don R. Sommerfeldt and Justice Henry A. VisserREAD MORE »
In its 10K filed May 12, 2015 at p. 38 McKesson states that it has reached an “agreement in principle” with CRA to settle its outstanding transfer pricing appeal for years 2003 to 2010.McKesson Update - Settlement ReachedREAD MORE »
Précis: Mr. Karam was assessed in 2009 for his share of the proceeds of sale of property owned by a partnership of which he was a member. CRA assessed the transaction as being on income account, not a capital gain.Karam v. R. - FC: Error in letter confirming assessment does not change amount to be collectedREAD MORE »
Précis: This is an interesting decision on a motion to strike brought by the Defendant CRA. It raises issues of the validity and enforceability of agreements with the Minister, as well as issues of practice in the Federal Court. Rosenberg v. C.R.A. – FC: Action by taxpayer to enforce settlement agreement with CRA survives motion to strike and is converted to applicationREAD MORE »
Précis: Mr. Levin and his former spouse had three children. In 2001 they agreed to joint custody with Mr. Levin having the children 6 days in every 14. This appeal concerned his claim to the Canada Child Tax Benefit (the “Benefit”) for the 2009, 2010 and 2011 base years (he dropped his claim in respect of the 2012 base year).Levin v. R. - TCC: Taxpayer not entitled to Canada Child Tax Benefit - children did not reside with himREAD MORE »
Précis: Mr. and Mrs. Wynne were residents of Maryland. They had sources of income in a number of states and sought tax credits in Maryland for income taxes paid to those other states. They were granted tax credits against Maryland “state” taxes but not Maryland “county” taxes (“county” taxes being in fact imposed and collected by the State of Maryland). Comptroller v. Wynne - SCOTUS: Double taxation of out-of-state income by Maryland violates Commerce ClauseREAD MORE »
Précis: In 2013 the Tax Court reached a decision dismissing Mr. Ironside’s appeal concerning the deduction in 2003 and 2004 (and resulting losses applied to 2002 and 2006) of legal and other professional fees to defend himself against allegations of committing improper disclosures after being charged in June of 2001 by the Alberta Securities Commission. Ironside v. R. - TCC: Court orders hearing whether decision in prior tax years gives rise to issue estoppel - Rule 58READ MORE »
Précis: Kuretski et al. v. Commissioner of Internal Revenue Service (June 20, 2014 – 2014 #13-1090) was a decision of The United States Court of Appeals for the District of Columbia Circuit (the “DC Circuit”) where taxpayers did not pay their taxes and were eventually assessed by the IRS.Kuretski v. CIR - SCOTUS: US Supreme Court refuses to review decision challenging status of US Tax CourtREAD MORE »
Précis: Plomberie Yves Guillemette inc. (the “Payer”) employed two of its controlling shareholders, Normand and Sébastien Guillemette. It also employed Jennifer Chabot during a period when she was married to Sébastien Guillemette. Guillemette v. R. - TCC: Family members treated in the same way as other workers for EI purposesREAD MORE »