Tax Court of Canada
Encyclopedia
The Tax Court of Canada established in 1983 by the Tax Court of Canada Act
, is a federal superior court
which deals with matters involving companies or individual
s and tax
issues with the Government of Canada
.
Appeals of decisions of the Tax Court of Canada are exclusively within the jurisdiction of the Federal Court of Appeal. On occasion, the Supreme Court of Canada
grants leave to appeal a federal tax case from a decision of the Federal Court of Appeal where the question involved is considered to be of public importance.
The litigation of a federal tax dispute is commenced by a taxpayer filing a Notice of Appeal
in the Tax Court of Canada. Cases may proceed either by way of Informal or General Procedure – the former where the amount in issue is CAD
$12,000 or less and the latter where the amount in issue exceeds that threshold.
In General Procedure cases, discoveries are held by exchange of documents followed by the examination, without a judge, of one witness on behalf of each party. One or both parties may then apply for a hearing date where witnesses will be examined and cross-examined before a judge and documents formally entered into evidence. Trials in the Tax Court of Canada typically take one day or less, particularly where the parties have agreed on all or substantially all of the facts, but in more complex and contentious cases the trial may not be completed for several weeks or even months.
In the Tax Court of Canada, the onus is generally on the taxpayer to prove its case on a balance of probabilities, except in respect of civil penalties where the Canada Revenue Agency
carries the burden of proof. Generally, the Minister of National Revenue is represented by specialized tax litigation counsel from the Department of Justice
.
The decision whether, and on what basis, to settle any particular case is made on a collaborative basis between the Canada Revenue Agency
and the Department of Justice
. Settlements are generally based on a principled approach to the matter rather than strictly as a percentage of the dollar amount at stake. This differs from the rules of general civil litigation, but it does offer the opportunity to develop creative settlement strategies particularly where multiple taxation years or issues are involved.
In granting judgment in favour of a taxpayer, the Tax Court of Canada may order the Minister of National Revenue to reassess on the basis described by the judge in the reasons for judgment or, where the assessment or reassessment is wholly incorrect, the assessment or reassessment may be vacated entirely.
Costs are recoverable by the successful party in accordance with rather modest tariff amounts, but reasonable disbursements incurred by the successful party (including expert witness costs) are generally fully recoverable.
Chief Judge
Associate Chief Judge
Judges (in order of seniority):
Deputy Judges (alphabetical order):
Tax Court of Canada Act
The Tax Court of Canada Act was an Act of the Parliament of Canada concerning the Tax Court of Canada.-External links:*...
, is a federal superior court
Federal Court (Canada)
The Federal Court is a Canadian trial court that hears cases arising under certain areas of federal law. The Federal Court is a superior court with nationwide jurisdiction...
which deals with matters involving companies or individual
Individual
An individual is a person or any specific object or thing in a collection. Individuality is the state or quality of being an individual; a person separate from other persons and possessing his or her own needs, goals, and desires. Being self expressive...
s and tax
Tax
To tax is to impose a financial charge or other levy upon a taxpayer by a state or the functional equivalent of a state such that failure to pay is punishable by law. Taxes are also imposed by many subnational entities...
issues with the Government of Canada
Government of Canada
The Government of Canada, formally Her Majesty's Government, is the system whereby the federation of Canada is administered by a common authority; in Canadian English, the term can mean either the collective set of institutions or specifically the Queen-in-Council...
.
Appeals of decisions of the Tax Court of Canada are exclusively within the jurisdiction of the Federal Court of Appeal. On occasion, the Supreme Court of Canada
Supreme Court of Canada
The Supreme Court of Canada is the highest court of Canada and is the final court of appeals in the Canadian justice system. The court grants permission to between 40 and 75 litigants each year to appeal decisions rendered by provincial, territorial and federal appellate courts, and its decisions...
grants leave to appeal a federal tax case from a decision of the Federal Court of Appeal where the question involved is considered to be of public importance.
The litigation of a federal tax dispute is commenced by a taxpayer filing a Notice of Appeal
in the Tax Court of Canada. Cases may proceed either by way of Informal or General Procedure – the former where the amount in issue is CAD
Canadian dollar
The Canadian dollar is the currency of Canada. As of 2007, the Canadian dollar is the 7th most traded currency in the world. It is abbreviated with the dollar sign $, or C$ to distinguish it from other dollar-denominated currencies...
$12,000 or less and the latter where the amount in issue exceeds that threshold.
In General Procedure cases, discoveries are held by exchange of documents followed by the examination, without a judge, of one witness on behalf of each party. One or both parties may then apply for a hearing date where witnesses will be examined and cross-examined before a judge and documents formally entered into evidence. Trials in the Tax Court of Canada typically take one day or less, particularly where the parties have agreed on all or substantially all of the facts, but in more complex and contentious cases the trial may not be completed for several weeks or even months.
In the Tax Court of Canada, the onus is generally on the taxpayer to prove its case on a balance of probabilities, except in respect of civil penalties where the Canada Revenue Agency
Canada Revenue Agency
The Canada Revenue Agency is a federal agency that administers tax laws for the Government of Canada and for most provinces and territories, international trade legislation, and various social and economic benefit and incentive programs delivered through the tax system...
carries the burden of proof. Generally, the Minister of National Revenue is represented by specialized tax litigation counsel from the Department of Justice
Department of Justice (Canada)
The purpose of the Department of Justice is to ensure that the Canadian justice system is fair, accessible and efficient. The Department also represents the Canadian government in legal matters...
.
The decision whether, and on what basis, to settle any particular case is made on a collaborative basis between the Canada Revenue Agency
Canada Revenue Agency
The Canada Revenue Agency is a federal agency that administers tax laws for the Government of Canada and for most provinces and territories, international trade legislation, and various social and economic benefit and incentive programs delivered through the tax system...
and the Department of Justice
Department of Justice (Canada)
The purpose of the Department of Justice is to ensure that the Canadian justice system is fair, accessible and efficient. The Department also represents the Canadian government in legal matters...
. Settlements are generally based on a principled approach to the matter rather than strictly as a percentage of the dollar amount at stake. This differs from the rules of general civil litigation, but it does offer the opportunity to develop creative settlement strategies particularly where multiple taxation years or issues are involved.
In granting judgment in favour of a taxpayer, the Tax Court of Canada may order the Minister of National Revenue to reassess on the basis described by the judge in the reasons for judgment or, where the assessment or reassessment is wholly incorrect, the assessment or reassessment may be vacated entirely.
Costs are recoverable by the successful party in accordance with rather modest tariff amounts, but reasonable disbursements incurred by the successful party (including expert witness costs) are generally fully recoverable.
Judges
The salary of judges are determined annually by the Judicial Compensation and Benefits Commission. Chief Justice and Associate Chief Justice receive $254,600 while other judges receives $232,300 annually.Chief Judge
- The Honourable Gerald J. RipGerald J. RipGerald J. Rip is a judge currently serving as Chief Justice of the Tax Court of Canada.-Life:Born to Harry and Pauline Rip in 1940, Rip was a 1958 graduate of Outremont High School...
Associate Chief Judge
- The Honourable Eugene RossiterEugene RossiterEugene Rossiter is a judge currently serving on the Tax Court of Canada.-References:...
Judges (in order of seniority):
- The Honourable Theodore E. MargesonTheodore E. Margeson-References:...
(supernumerary), - The Honourable Pierre ArchambaultPierre Archambault-References:...
, - The Honourable Cameron Hugh McArthurCameron Hugh McArthurCameron Hugh McArthur is a judge currently serving on the Tax Court of Canada.-References:...
(supernumerary), - The Honourable Lucie LamarreLucie Lamarre-References:...
, - The Honourable Alain TardifAlain TardifAlain Tardif was a Liberal party member of the Canadian House of Commons. He was a lawyer by career.He was elected in the 1979 federal election at the Richmond electoral district. He was re-elected in the 1980 and 1984 federal elections, the latter when his riding became known as Richmond—Wolfe...
, - The Honourable Eric A. BowieEric A. Bowie-References:...
(supernumerary), - The Honourable Joe E. HershfieldJoe E. HershfieldJoe E. Hershfield is a judge currently serving on the Tax Court of Canada.-References:...
, - The Honourable Diane CampbellDiane Campbell-References:...
, - The Honourable Campbell J. MillerCampbell J. Miller-References:...
, - The Honourable François M. AngersFrançois M. Angers-References:...
, - The Honourable Leslie M. LittleLeslie M. LittleLeslie M. Little is a judge currently serving on the Tax Court of Canada.Educated at Mount Allison University and Dalhousie University . Called to the Bar of British Columbia in 1962 and the Bar of Alberta 1973. Appointed Queen’s Counsel 1984...
, - The Honourable Brent ParisBrent Paris-References:...
, - The Honourable Judith WoodsJudith WoodsJudith Woods is a judge currently serving on the Tax Court of Canada.-References:...
, - The Honourable Georgette Anne SheridanGeorgette Anne SheridanGeorgette Anne Sheridan is a judge currently serving on the Tax Court of Canada.-References:...
, - The Honourable Paul BédardPaul Bédard-References:...
, - The Honourable Réal FavreauRéal Favreau-References:...
, - The Honourable Wyman W. WebbWyman W. Webb-References:...
, - The Honourable Gaston JorréGaston Jorré-References:...
, - The Honourable Patrick J. BoylePatrick J. Boyle-References:...
, - The Honourable Valerie MillerValerie Miller-References:...
, - The Honourable Robert J. HoganRobert Hogan (judge)-References:...
, - The Honourable Steven K. D'ArcySteven K. D'Arcy-References:...
, - The Honourable Frank J. Pizzitelli,
- The Honourable Johanne D'Auray.
Deputy Judges (alphabetical order):
- The Honourable D.W. Rowe,
- The Honourable N. Weisman.