Précis: This decision deals with the rather rare jeopardy order provision found in subsection 164 (1.2) of the Income Tax Act (this is only the third reported decision on the provision). Subsection 164(1.2) permits the Minister, with the sanction of the Court, to retain taxpayer funds in her possession that would otherwise be payable to the taxpayer where a jeopardy situation is shown to exist. The Court found that the evidence disclosed both little, if any, other assets of the respondent corporation and a history of non-payment or bankruptcy on the part of the corporate principal. As a result the jeopardy orders sought were granted. The Minister was awarded costs set at $5,000.
Canada v. 0741449 BC - FCt: Jeopardy orders granted; corporate principal had chequered financial pastREAD MORE »