Canada Case Law

GP v Canada Employment Insurance Commission

Court

Social Security Tribunal of Canada

Leave to appeal was refused because the Appeal Division found no arguable procedural error (the Claimant consented to proceed and was afforded post-hearing submissions), no arguable legal error in treating vacation pay paid directly to the Claimant as earnings under the Employment Insurance Regulations and established case law, and no arguable jurisdictional error regarding reimbursement of tax credits which are outside the General Division's authority.

Source excerpt

• Leave to appeal
• Procedural fairness
• Earnings allocation
• Vacation pay
• Overpayment
• Goods and services tax credit

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WRD Borger Construction Ltd. v. The Queen

Court

Tax Court of Canada

The appellant's activities did not satisfy SRED criteria because the work was conventional problem-solving and trial and error using off‑the‑shelf equipment beyond its rated parameters, lacked formulated hypotheses and a methodical scientific testing protocol, produced no technological advancement in the field, and was supported only by routine field records; therefore the reassessment was upheld and the SRED expenditures disallowed.

Source excerpt

• Sred eligibility
• Technological uncertainty
• Experimental development criteria
• Reassessment

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CRL Engineering Ltd. v. The Queen

Court

Tax Court of Canada

On the balance of probabilities the Appellant satisfied the five‑factor SRED test under s.248(1) of the Income Tax Act for the 2013 and 2014 taxation years; the appeals are allowed and the reassessments are referred back to the Minister for reconsideration and reassessment, subject to the s.18.1 Tax Court of Canada Act $25,000 per year reduction limit.

Source excerpt

• Scientific research and experimental development (sred)
• Eligibility for investment tax credits
• Definition and exclusions under s.248(1)
• Application of the five‑factor sred test

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Fortnum v. The Queen

Court

Tax Court of Canada

The appellant's summer semester fees qualified for the tuition tax credit because the summer session comprised compulsory, consecutively taken courses that formed an integral part of the One Year MBA program, were attended full‑time, were paid for by a single fee, and a textual, contextual and purposive interpretation of s.118.5(1)(b) supports treating those consecutive compulsory courses as meeting the statutory duration requirement; alternatively, ambiguity resolves in favour of the appellant under the presumption in Placer Dome.

Source excerpt

• Tuition tax credit
• Full‑time attendance
• Course duration
• Meaning of "course"
• Consecutive weeks requirement

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Glueckler v. Glueckler

Court

Supreme Court of British Columbia

In a family-law trial, the court ordered retroactive child support, occupational rent, storage reimbursement, equal division of assets, and pension division.

• Division of family assets
• Retroactive child support
• Occupational rent
• Constructive ouster
• Storage cost reimbursement
• Tuition/tax credit allocation

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Anthony v. The Queen

Court

Tax Court of Canada

A typical retail hot tub that is commonly purchased by able-bodied persons and is not exclusively designed to assist walking does not satisfy the exclusivity or specificity requirements of s.118.2(2)(m)/Reg.5700(i) nor the conditions of s.118.2(2)(l.2), therefore its cost is not an eligible medical expense for the METC; appeal dismissed.

Source excerpt

• Medical expense tax credit
• Interpretation of s.118.2(2)(l.2) and s.118.2(2)(m)
• Regulation 5700(i) - devices exclusively designed to assist walking
• Burden of proof in tax proceedings

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Lowry v. The Queen

Court

Tax Court of Canada

Because the legislation explicitly requires courses to be of at least 13 consecutive weeks and the appellant's courses were 12 weeks with intervening breaks, the statutory requirements for tuition, education and textbook credits were not met and the appeal must be dismissed.

Source excerpt

• Tuition tax credit
• Education and textbook credits
• Designated educational institution
• 13 consecutive weeks requirement
• Foreign university online courses

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PSC Elstow Research Farm Inc v. The Queen

Court

Tax Court of Canada

PSC Elstow’s expenditures qualified as SR&ED expenditure because its sole business was prosecution of SR&ED; subsection 127(19) can reduce PSC Elstow’s qualified expenditures by government assistance received by its non‑arm’s‑length shareholder PSCI but only to the extent that the assistance funded the same Elstow‑related SR&ED (four of sixteen projects); amounts of PSCI’s $900,000 grant that funded unrelated PSCI projects do not reduce PSC Elstow’s qualified expenditures and cannot be included in PSC Elstow’s income under paragraph 12(1)(x) because PSC Elstow did not receive them; accordingl…

Source excerpt

• Investment tax credit
• Subsection 127(19)
• Paragraph 12(1)(x)
• Qualified expenditures
• Arm's length control

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Hagos c. La Reine

Court

Tax Court of Canada

The appellant failed to satisfy the statutory requirements of s.118.2 because his brother was not a resident of Canada in the relevant year and the expenses were incurred in 2003 but claimed for 2004; therefore the medical expense tax credit cannot be allowed and the Court cannot grant relief based on compassion.

Source excerpt

• Medical expense tax credit
• Residency
• Dependant definition
• Section 118.2
• Timing of deduction
• Judicial power and compassion

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Beauchamp c. La Reine

Court

Tax Court of Canada

Appeal dismissed: 2003 and 2004 years cannot be entertained because no notice of objection was filed; for 2005, appellant not entitled to disability tax credit because CPAP use did not require interruption of everyday activities and therefore did not meet the statutory time requirement and was not established as therapy essential to sustain a vital function.

Source excerpt

• Disability tax credit
• Severe and prolonged impairment
• Cpap therapy
• Notice of objection
• Statutory interpretation

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