Précis: This GST case was blogged in the Tax Court last year on this site. The taxpayer, formerly known as the Saskatchewan Wheat Pool, administered three pension funds during the periods from August 1, 2003 to July 31, 2004 and August 1, 2004 to July 31, 2005. It used the services of investment managers to provide services (the Investment Services) to the funds. CRA reassessed the taxpayer in 2016 allowing investment tax credits on the fees paid to the investment manages but imposing GST on the supply of the Investment Services by the taxpayer to the funds. The taxpayer applied pursuant to Rule 58 for the determination of a question: ... The Tax Court ruled that it did not have enough evidence to answer the question and ruled that the matter should be determined by the trial judge.
The taxpayer and the Crown both appealed to the Federal Court of Appeal arguing that the Motion Judge erred in holding he did not have enough evidence to answer the question. The Crown also argued on appeal that the Judge erred in law in his interpretation of the limits on the Minister’s reassessing powers under subsection 298(3) of the Excise Tax Act, in response to a notice of objection, after the expiry of the normal limitation period.
The Court of Appeal dismissed the appeal holding that the Motion Judge was owed a high degree of deference in the exercise of his discretion when considering a Rule 58 question. The Crown’s cross-appeal was also dismissed as it was an appeal of the reasons, not the decision. Thus both the appeal and cross-appeal were dismissed without costs.
Viterra Inc. v. R. – FCA: FCA declines to interfere with Tax Court’s decision not to permit a Rule 58 determination of statute-barring issueREAD MORE »