Christ Apostolic Church of God Mission International v. Canada (National Revenue)
The Minister was entitled to revoke the appellant's charitable registration because the compliance agreement was subject to Ministerial review and the Minister could conclude that the appellant's non-compliance was so substantial it could not be remedied by the agreement; moreover, no breach of procedural fairness...
Source-derived case information.
- Citation
- 2009 FCA 162
- Parties
- Appellant: Christ Apostolic Church of God Mission International; Respondent: The Minister of National Revenue
- Court
- Federal Court of Appeal
- Jurisdiction
- Canada
- Judgment Date
- 20 May 2009
- Procedural Posture
- Appeal Under S.172 Income Tax Act (revocation of Charitable Registration) / Federal Court of Appeal Decision Following Audit, Objection Process and Notice of Intention to Revoke
- Outcome
- Appeal dismissed with costs
- Legal Topics
- Revocation of Charitable Status, Compliance Agreement, Natural Justice, Ministerial Discretion, Objection Process
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Christ Apostolic Church of God Mission International
Appellant
The Minister of National Revenue
Respondent
Procedural Posture
Appeal Under S.172 Income Tax Act (revocation of Charitable Registration) / Federal Court of Appeal Decision Following Audit, Objection Process and Notice of Intention to Revoke
Legal Issues
- 1 Whether a compliance agreement signed during audit prevented the Minister from later revoking charitable registration
- 2 Whether the compliance agreement was binding and could not be unilaterally set aside by the Minister
- 3 Whether the Minister breached natural justice or procedural fairness by revoking registration without first allowing submissions that the compliance agreement was a sufficient sanction
Ratio Decidendi
The Minister was entitled to revoke the appellant's charitable registration because the compliance agreement was subject to Ministerial review and the Minister could conclude that the appellant's non-compliance was so substantial it could not be remedied by the agreement; moreover, no breach of procedural fairness occurred because the appellant had the opportunity to make submissions during the objection process and did not do so.
Court Disposition
Appeal dismissed with costs
Orders
- Appeal dismissed with costs
Full Case Text
Judgment text and source record
1 paragraphs
Christ Apostolic Church of God Mission International v. Canada (National Revenue) Court (s) Database Federal Court of Appeal Decisions Date 2009-05-20 Neutral citation 2009 FCA 162 File numbers A-287-08 Decision Content Date: 20090520 Docket: A-287-08 Citation: 2009 FCA 162 CORAM: LINDEN J.A. SEXTON J.A. SHARLOW J.A. BETWEEN: CHRIST APOSTOLIC CHURCH OF GOD MISSION INTERNATIONAL Appellant and THE MINISTER OF NATIONAL REVENUE Respondent Heard at Toronto, Ontario, on May 20, 2009. Judgment delivered from the Bench at Toronto, Ontario, on May 20, 2009. REASONS FOR JUDGMENT OF THE COURT BY: SHARLOW J.A. Date: 20090520 Docket: A-287-08 Citation: 2009 FCA 162 CORAM: LINDEN J.A. SEXTON J.A. SHARLOW J.A. BETWEEN: CHRIST APOSTOLIC CHURCH OF GOD MISSION INTERNATIONAL Appellant and THE MINISTER OF NATIONAL REVENUE Respondent REASONS FOR JUDGMENT OF THE COURT (Delivered from the Bench at Toronto, Ontario, on May 20, 2009) SHARLOW J.A. [1] This is an appeal pursuant to section 172 of the Income Tax Act, R.S.C. 1985, c. 1 (5th Supp.), of the decision of the Minister of National Revenue to issue a notice of intention to revoke the registration of the appellant church as a charitable organization. Having reviewed the record and heard counsel for the appellant, we have not been persuaded that there is any basis for reversing the Minister’s decision. [2] The appellant’s principal argument is that the “compliance agreement” it signed during the course of the audit at the request of the auditor could not be unilaterally withdrawn by the Minister. We see no merit in this argument. The compliance agreement was subject to review by the Minister after considering the results of the audit. It was open to the Minister, after reviewing the audit report, to conclude that the appellant’s non-compliance was so substantial that it could not be remedied by the promises made by the appellant in the compliance agreement. [3] The appellant also argues that the Minister failed to observe the requirements of natural justice and procedural fairness in deciding to revoke the appellant’s registration as a charity without first giving it the chance to argue that the compliance agreement should have been a sufficient sanction. However, the record discloses that during the objection process, the appellant could have made submissions to that effect but failed to do so. That failure cannot be attributed to any procedural failure on the part of the Minister. [4] For these reasons, the appeal will be dismissed with costs. “K. Sharlow” J.A. FEDERAL COURT OF APPEAL NAMES OF COUNSEL AND SOLICITORS OF RECORD DOCKET: A-287-08 (APPEAL FROM A DECISION OF ELIZABETH TROMP, DIRECTOR GENERAL, CHARITIES DATED 30-AUG-2006) STYLE OF CAUSE: CHRIST APOSTOLIC CHURCH OF GOD MISSION INTERNATIONAL v. THE MINISTER ON NATIONAL REVENUE PLACE OF HEARING: TORONTO, ONTARIO DATE OF HEARING: MAY 20, 2009 REASONS FOR JUDGMENT OF THE COURT BY: (LINDEN, SEXTON & SHARLOW JJ.A.) DELIVERED FROM THE BENCH BY: SHARLOW J.A. APPEARANCES: MAJEKODUNMI ADEGA FOR THE APPELLANT JOANNA HILL FOR THE RESPONDENT SOLICITORS OF RECORD: MR. MAJEKODUNMI ADEGA BARRISTER AND SOLICITOR TORONTO, ON FOR THE APPELLANT John H. Sims, Q.C. Deputy Attorney General of Canada FOR THE RESPONDENT