Le restaurant qui appartenait au fils de Monsieur Gaétan Gagné était aux prises avec des difficultés financières. Afin de l’aider, Monsieur Gagné lui a prêté de l’argent, en échange de quoi son fils lui a émis des actions de la société 9129-7903 Québec Inc. (la « Société »). La Société a omis de verser la taxe nette qu’elle devait à Revenu Québec.
Relying on What Others Do Can Be Very Costly
The taxpayer was a corporation carrying on the business of selling and distributing dental products to dentists in Canada, including local anesthetic solutions. 95% of those solutions contained “epinephrine”. Prior to May 2005, the taxpayer sold the anesthetic solutions as “taxable supplies”, meaning that it charged GST. Effective May 1, 2005, it decided to treat the solutions as “zero-rated supplies” and therefore stopped charging GST.
GST/HST Rebate Application Filed Too Late
The taxpayer, a dentist, purchased a practice from another dentist. The taxpayer was under the understanding that the parties would file an election under subsection 167(1) of the Excise Tax Act to avoid paying GST/HST. For reasons that are unclear, no such election was filed.
Monetary Awards Are Characterized Based on What They Are Intended to Replace
This case dealt with whether the monetary award received by the taxpayer following a labour dispute was taxable as income. The labour dispute revolved around the fact that the taxpayer was not offered the opportunity to work overtime whereas the collective agreement stated that overtime work would be offered on an equitable basis to readily available qualified employees.
Donative Intent, Really?
In this case, the taxpayer withdrew money from his RRSP in 2004. In order to offset the tax he would have had to pay, he made a charitable donation of $65,000 to the Canadian Literacy Enhancement Society (“CLES”). In 2008, the CRA reassessed the taxpayer’s 2004 taxation year to disallow the federal and provincial tax credits he claimed in relation to that payment.