Bowman
T.C.J.:
This
appeal
is
from
an
assessment
for
the
1989
taxation
year
whereby
the
appellant
was
denied
a
deduction
under
paragraph
8(1
)(c)
of
the
Income
Tax
Act
relating
to
a
clergyman’s
residence.
Introduction:
This
case
was
the
first
of
a
series
of
cases
that
were
heard
during
the
spring,
summer
and
fall
of
1998.
They
all
deal
with
one
or
another
aspect
of
paragraph
8(1)(c)
of
the
Income
Tax
Act,
which,
broadly
speaking,
grants
a
deduction
in
computing
income
in
respect
of
the
residence
of
members
of
the
clergy,
ministers
and
members
of
religious
orders.
In
all
there
were
originally
about
70
cases
although
over
the
course
of
the
year
a
number
of
appellants
withdrew
their
appeals.
Counsel
arranged
the
cases
in
groups
according
to
the
particular
aspect
of
paragraph
8(1)(c)
under
which
the
individual
was
making
his
or
her
claim.
The
evidence
of
experts
was
called
by
the
appellants
and
the
respondent
and
it
was
agreed
that
this
evidence
would
apply
to
all
cases.
Moreover,
I
informed
counsel
that
1
would
not
render
judgment
in
any
of
the
cases
until
they
had
all
been
heard,
in
an
attempt
to
achieve
as
great
a
degree
of
consistency
as
possible,
and
to
avoid
repetition.
Although
I
am
issuing
separate
reasons
for
each
group
of
cases,
it
will
be
apparent
that
they
cannot
be
read
in
isolation,
and
authorities,
arguments
and
reasoning
in
one
set
of
reasons
will
have
been
taken
into
account
in
others.
Paragraph
8(1)(c)
permits
a
deduction
in
computing
income
from
an
office
or
employment
such
of
the
following
amounts
as
are
wholly
applicable
to
that
source
or
such
part
thereof
is
may
reasonably
be
regarded
as
applicable
thereto:
(c)
where
the
taxpayer
is
a
member
of
the
clergy
or
of
a
religious
order
or
a
regular
minister
of
a
religious
denomination,
and
is
in
charge
of,
or
ministering
to
a
diocese,
parish
or
congregation,
or
engaged
exclusively
in
full-time
administrative
service
by
appointment
of
a
religious
order
or
religious
denomination,
an
amount
equal
to
(i)
the
value
of
the
residence
or
other
living
accommodation
occupied
by
him
in
the
course
of
or
by
virtue
of
his
office
or
employment
as
such
a
member
or
minister
so
in
charge
of
or
ministering
to
a
diocese,
parish
or
congregation,
or
so
engaged
in
such
administrative
service,
to
the
extent
that
such
value
is
included
in
computing
his
income
for
the
year
by
virtue
of
section
6,
or
(11)
rent
paid
by
him
for
a
residence
or
other
living
accommodation
rented
and
occupied
by
him,
or
the
fair
rental
value
of
a
residence
or
other
living
accommodation
owned
and
occupied
by
him,
during
the
year
but
not,
in
either
case,
exceeding
his
remuneration
from
his
office
or
employment
as
described
in
subparagraph
(1).
The
French
version
reads
as
follows:
(c)
lorsque
le
contribuable
est
membre
du
clergé
ou
d’un
ordre
religieux
ou
ministre
régulier
d’une
confession
religieuse,
et
qu’il
dessert
un
diocèse,
une
paroisse
ou
a
la
charge
d’une
congrégation,
ou
s’occupe
exclusivement
et
à
plein
temps
du
service
administratif,
du
fait
de
sa
nomination
par
un
ordre
religieux
ou
une
confession
religieuse,
un
montant
égal
(i)
à
la
valeur
de
la
résidence
ou
autre
logement
qu’il
a
occupé
en
vertu
ou
au
cours
de
l’exercice
de
sa
charge
ou
de
son
emploi,
à
titre
de
membre
ou
ministre
qui
ainsi
dessert
un
diocèse,
une
paroisse
ou
a
la
charge
d’une
congrégation,
ou
est
ainsi
occupé
à
un
service
administratif,
dans
la
mesure
où
cette
valeur
est
incluse
dans
le
calcul
de
son
revenu
pour
l’année
en
vertu
de
l’article
6,
ou
(ii)
au
loyer
qu'il
a
payé
pour
une
résidence
ou
autre
logement
qu’il
a
loué
et
occupé
ou
à
la
juste
valeur
locative
d’une
résidence
ou
autre
logement
lui
appartenant
et
occupé
par
lui
durant
l’année,
sans
dépasser,
dans
aucun
de
ces
deux
cas,
la
rémunération
provenant
de
sa
charge
ou
de
son
emploi
ainsi
qu’il
est
indiqué
au
sous-alinéa
(1);
The
amount
of
the
deductions
is
not
in
issue.
The
sole
question
is
whether
the
appellants
meet
the
criteria
of
paragraph
(c)
of
subsection
8(1).
In
none
of
the
cases
was
any
assumption
made
with
respect
to
the
opening
words
of
subsection
8(1)
and
no
evidence
or
argument
relating
to
those
words
was
presented.
Therefore
the
appellants
had
no
onus
to
meet
concerning
any
question
of
fact
arising
from
those
words.
It
will
be
apparent
from
reading
the
provision,
and
from
the
many
decided
cases,
as
well
as
the
Department’s
own
administrative
practices,
that
a
twofold
test
is
involved:
(a)
a
status
test;
and
(b)
a
function
test.
To
qualify
for
the
deduction
the
taxpayer
must,
in
order
to
meet
the
status
test,
be:
(a)
a
member
of
the
clergy;
or
(b)
a
member
of
a
religious
order;
or
(c)
a
regular
minister
of
a
religious
denomination.
To
meet
the
function
test
he
or
she
must,
in
addition,
be;
(d)
in
charge
of
or
ministering
to
a
diocese,
parish
or
congregation;
or
(e)
engaged
exclusively
in
full
time
administrative
service
by
appointment
of
a
religious
order
or
religious
denomination.
The
appellant
is
a
credentialed
minister
of
The
Pentecostal
Assemblies
of
Canada
(“PAOC”)
and
was
employed
on
a
full-time
basis
as
a
minister
of
music
at
Calvary
Temple
in
Winnipeg.
Calvary
Temple
is
a
large
Pentecostal
church
in
Winnipeg,
with
a
congregation
of
about
2,400.
The
issues
are:
(a)
whether
he
was
a
“regular
minister
of
a
religious
denomination”;
and
(b)
whether
he
was
“ministering
to
a
congregation”.
It
was
not
contended
that
he
was
a
member
of
the
clergy
and
I
refrain
from
making
any
comment
in
this
case
on
the
meaning
of
the
word
“clergy”.
The
question
will
arise
in
other
cases
and
one
issue
that
will
have
to
be
considered
is
whether
to
be
a
member
of
the
clergy
the
ceremony
whereby
the
person
is
set
apart
spiritually,
or
invested
with
the
trappings
of
spiritual
superiority,
must
be
called
“ordination”
by
the
particular
denomination.
By-Law
#10
of
General
Constitution,
By-Laws
and
Essential
Resolutions
of
the
PAOC
sets
out
the
following
categories
of
credentials
at
page
35:
By-Law
#10
Ministerial
Credentials
Section
1
Grades
There
shall
be
the
following
categories
of
credentials:
ORDAINED
MINISTERIAL
LICENSE
FOR
WOMEN
(ISSUED
PRIOR
TO
1985)
LICENSED
MINISTER
DEACONESS
RECOGNITION
OF
MINISTRY
LAY
PREACHER
The
appellant
held
a
Recognition
of
Ministry
Certificate.
Paragraph
(c)
of
subsection
4
of
section
2
of
By-Law
#
10
reads
at
page
37:
(c)
Provision
shall
be
made
for
specialized
ministries
such
as
music,
Christian
education,
and
visitation.
The
candidate
must
be
a
graduate
of
a
recognized
Bible
college
or
seminary
program
which
meets
the
National
Bible
College
Committee
standard,
have
special
training
and
ability
in
his
particular
field
and
a
divine
calling
in
order
to
receive
a
minister’s
license.
After
three
years
of
proven
ministry
while
holding
a
minister’s
license,
he
may
apply
to
his
district
executive
for
ordination.
The
district
executive
committee
shall
recommend
such
application
to
the
General
Executive
for
approval,
and
if
granted,
the
district
conference
may
ordain
him.
The
requirements
of
a
Recognition
of
Ministry
Certificate
are
set
out
in
section
2
of
that
By-Law:
(e)
Recognition
of
Ministry
Certificate:
A
Recognition
of
Ministry
Certificate
may
be
granted
to
those
who
are
engaged
in
some
form
of
specific
public
ministry
and
to
students
enrolled
in
Bible
college
or
the
Canadian
Pentecostal
Correspondence
College,
who
are
engaged
in
regular
preaching
ministry
prior
to
graduation.
This
credential
may
also
be
granted
to
those
who
are
active
partners
with
their
spouses
in
the
ministry,
such
certificate
to
be
reviewed
annually.
It
may
also
be
granted
to
a
native
applicant
of
proven
character,
having
indication
of
leadership
qualities
and
the
call
of
God,
who
is
active
in
the
ministry,
and
who
has
not
completed
the
prescribed
two-year
native
training
program.
In
addition,
paragraph
(a)
of
section
3
provides:
(a)
All
applicants
for
credentials
shall
have
a
personal
experience
of
salvation,
and
shall
have
received
the
baptism
in
the
Holy
Spirit
according
to
Acts
2:4,
and
shall
subscribe
to
the
Statement
of
Fundamental
and
Essential
Truths
of
The
Pentecostal
Assemblies
of
Canada.
Section
7
deals
with
discipline
and
sets
forth
a
large
number
of
grounds
upon
which
ministers
can
be
disciplined
or,
in
extreme
cases,
can
have
their
credentials
withdrawn.
Section
10
of
By-Law
#10
sets
out
the
various
ceremonies,
ordinances
and
sacraments
that
can
be
performed
by
ministers
holding
credentials.
That
section
reads:
Section
10
Ceremonies,
Ordinances,
and
Sacraments
Ministers
holding
credentials
with
The
Pentecostal
Assemblies
of
Canada
are
permitted
to
conduct
the
various
ceremonies,
ordinances,
and
sacraments
in
accordance
with
the
direction
of
The
Pentecostal
Assemblies
of
Canada
and
the
laws
of
their
province.
(a)
Ordained
ministers
are
permitted
to
solemnise
marriages
if
they
are
registered
with
the
government.
EXCEPTIONS:
Those
who
hold
Ministerial
License
for
Women,
Licensed
Minister’s
Certificate,
or
Recognition
of
Ministry
Certificate
may,
under
special
circumstances,
be
granted
the
right
to
solemnise
marriage
according
to
the
Provincial
Marriage
Act.
(1)
They
must
obtain
authorisation
from
the
district
executive.
(2)
They
must
be
in
charge
of
a
congregation.
(3)
They
must
be
registered
with
the
appropriate
provincial
or
territorial
government.
(b)
Dedication
of
children,
water
baptism,
and
the
communion
service:
These
services
may
be
conducted
by
the
credential
holder
according
to
the
custom
and
practices
of
The
Pentecostal
Assemblies
of
Canada,
and
in
accordance
with
the
laws
of
the
province.
(c)
Burial
of
the
dead:
One
need
not
be
an
ordained
minister
to
conduct
a
funeral
and
committal
service
in
most
provinces.
It
appears
that
a
credentialed
minister
may
perform
any
ceremony
that
an
ordained
minister
can,
except
marriages,
and
that
restriction
is
a
matter
of
provincial
law
rather
than
a
rule
of
the
Church.
The
issuance
of
credentials
is
a
matter
for
the
National
Credentials
Committee.
Section
4
of
By-Law
#10
reads
in
part
as
follows
at
page
39:
Section
4
Issuing
of
Credentials
(a)
The
National
Credentials
Committee,
composed
of
the
General
Superintendent
and
the
General
Secretary,
shall
issue
the
approved
credentials.
(b)
All
initial
applications
for
credentials
must
be
made
on
a
completed
application
form,
to
be
submitted
to
the
district
conference
credentials
committee
for
district
conference
approval.
(c)
I.
The
National
Credentials
Committee
shall
issue
credentials
to
only
those
recommended
and
approved
by
the
district
executive
and
district
conference,
and
who
have
complied
with
General
Conference
requirements.
2.
Missionaries
in
active
ministry
in
foreign
lands
shall
be
issued
credentials
by
the
National
Credentials
Committee
on
the
recommendation
of
the
Overseas
Missions
Committee.
Section
13
of
By-Law
#23
reads
at
page
71:
Section
13
Credentials
(a)
AIT
candidates
for
credentials
shall
complete
the
official
application
form
and
forward
the
same
to
the
district
office
not
less
than
one
month
prior
to
the
district
conference.
They
shall
submit
for
reference
the
names
of
two
ordained
ministers.
They
shall
appear
in
person
before
the
Credentials
Committee
and
shall
be
prepared
to
be
examined
as
to
their
doctrine,
ability
and
conduct.
(b)
The
granting
of
credentials
recommended
by
the
Credentials
Committee
shall
be
subject
to
the
approval
of
the
district
conference.
(c)
The
time
and
place
of
ordination
ceremonies
and
the
officiating
ministers
shall
be
decided
by
the
district
executive
committee,
consideration
being
given
to
the
wishes
of
the
candidate.
As
explained
by
Reverend
Bruce
Martin,
senior
pastor
of
Calvary
Temple
in
Winnipeg,
the
credentialing
of
ministers
is
a
careful
and
painstaking
procedure,
involving
an
initial
application
by
the
applicant,
meetings
and
interviews
at
the
local,
district
and
national
level.
The
applicant
is
at
present
a
professor
of
music.
He
was
a
full-time
minister
of
music
at
Calvary
Temple
from
1987
to
1991.
He
graduated
with
a
Bachelor
of
Music
degree
from
Hope
College,
a
Christian
liberal
arts
college
in
Holland,
Michigan
where
he
studied
both
music
and
theology.
He
subsequently
received
a
degree
of
Master
of
Music
from
Yale
University.
When
the
appellant
became
minister
of
music
at
Calvary
Temple,
he
occupied
an
office
in
the
church
and
shared
a
secretary.
He
was
described
in
the
church
bulletin
as
Pastor
Ken
Austin,
Minister
of
Music.
He
was
employed
full-time
by
the
church
and
spent
between
54
and
60
hours
per
week
at
the
church.
He
was
in
charge
of
seven
choirs,
an
orchestra,
a
brass
ensemble
and
a
string
ensemble.
In
the
three
services
on
Sunday,
he
conducted
the
choir,
sometimes
read
scripture
from
the
pulpit
and
led
the
congregation
in
singing.
He
sat
immediately
to
the
right
of
the
pastor.
It
is
important
to
note
the
significance
of
music
in
the
Pentecostal
Church.
Fifty
percent
of
every
service
is
to
be
music,
either
congregational
singing
or
anthems
by
the
choir
or
instrumental
music.
The
use
of
music
as
a
form
of
worship
is
of
ancient
origin
(see,
for
example,
I
Chronicles
Chapter
16,
verses
4-9,
42;
I
Chronicles
Chapter
25,
verses
1,
3
and
6;
II
Chronicles
Chapter
29,
verses
25
to
28;
Colossians
Chapter
3,
verse
16).
Quite
apart
from
the
appellant’s
own
testimony
concerning
the
role
of
music
in
the
Pentecostal
church,
as
well
as
the
numerous
Biblical
references
in
both
the
Old
and
the
New
Testaments,
the
Dictionary
of
Pentecostal
and
Charismatic
Movements
(Burgess
&
McGee)
devotes
seven
pages
to
Pentecostal
and
Charismatic
Music.
Two
short
passages
are
illustrative:
PENTECOSTAL
AND
CHARISMATIC
MUSIC.
The
Pentecostal
movement
has
long
been
distinguished
for
the
important
role
it
gives
to
music
in
all
aspects
of
the
lives
of
its
adherents.
Fervent,
spiritual
singing
is
and
has
been
typical
of
the
Pentecostal-charismatic
tradition
of
worship.
The
value
of
music
for
the
worship,
evangelism,
education,
and
nurture
of
the
church
has
emerged
as
a
major
emphasis
of
the
movement.
Music
occupies
a
vital
place
in
the
religious
experience
of
typical
Pentecostal-charismatic
believers,
expressing
a
wide
range
of
economic,
political,
and
social
values;
styles
of
worship;
and
musical
tastes.
II.
The
Tradition
Develops
The
prominence
of
music
in
the
Pentecostal-charismatic
movement
can
be
gauged
by
the
time
devoted
to
singing
and
instrumental
music
in
worship.
It
is
not
unusual
for
up
to
two-thirds
of
worship
services
to
be
given
over
to
music
performance.
Moreover,
music
is
used
in
the
sanctuary
and
in
the
home
with
equal
fervour.
Given
the
prominence
of
music
in
the
Pentecostal
service
and,
generally,
in
the
method
of
worship
by
members
of
that
denomination,
it
will
be
evident
that
the
role
of
Minister
of
Music
assumes
an
importance
in
that
church
that
goes
far
beyond
that
of
organist
or
choir
master
of
other
churches.
In
determining
whether
someone
is
a
“regular
minister”
in
a
church
one
must
look
to
the
structure
and
practices
of
the
particular
denomination.
In
addition
to
his
duties
in
connection
with
the
extensive
music
program
of
the
Calvary
Temple,
he
was
active
visiting
people
in
hospitals
or
attending
funerals
and
weddings.
He
delivered
sermons
to
different
parts
of
the
congregation,
such
as
youth,
senior
and
an
East
Indian
congregation.
Also,
he
was
involved
in
counselling
members
of
the
congregation.
The
respondent’s
position
is
that
the
appellant
was
not
a
“regular
minister”
because:
(a)
he
was
not
ordained,
even
though
the
PAOC
By-Laws
provides
for
ordination;
(b)
his
ministry
was
a
specialized
one.
Moreover,
it
was
contended
that
he
was
not
ministering
to
a
congregation
because
of
the
specialized
nature
of
his
duties.
Was
Pastor
Austin
a
regular
minister
of
a
religious
denomination?
If
he
was
a
minister
of
the
Pentecostal
Church,
he
was
unquestionably
a
regular
minister
in
that
he
attended
regularly
and
on
a
full
time
basis
to
his
duties
in
the
Church.
He
was
an
integral
and
predictable
part
for
five
years
of
the
life
of
the
Church.
Was
he
a
minister?
In
my
view
he
was.
I
do
not
think
that
ordination
is
a
requirement
of
being
a
minister
whatever
role
it
may
play
in
the
meaning
of
the
word
“clergy”,
a
matter
I
discuss
at
greater
length
in
the
Kraft,
Baker
et
al.
case.
Rip
J.
in
Hardy
v.
R.
(1997),
[1998]
2
C.T.C.
2013
(T.C.C.),
dis
cussed
at
some
length
the
jurisprudence
relating
to
the
words
“regular
minister”.
His
comments
are
most
instructive.
At
paragraph
8:
[para
8]
I
agree
with
respondent’s
counsel
that
a
regular
minister
need
not
necessarily
be
one
who
is
ordained
to
qualify
for
the
cleric’s
residence
deduction.
After
referring
to
both
English
and
French
dictionary
definitions
he
said
at
paragraph
15:
[para
15]
In
both
languages,
then,
the
word
“regular”,
in
common
usage,
is
understood
commonly
to
describe
a
consistent
observance
of
duties
or
actions.
English
common
usage
has
the
additional
meaning
of
a
person
devoted
to
a
particular
occupation
or
properly
trained
in
such
regard.
The
word
“regular”
may
also
mean
“usual;
normal;
customary”.
Rip
J.
quoted
at
some
length
from
Greenlees
v.
Canada
(Attorney
General),
[1945]
O.R.
411
(Ont.
H.C.),
aff’d
(1945),
[1946]
O.R.
90
(Ont.
C.A.),
leave
to
appeal
refused
[1946]
S.C.R.
462
(S.C.C.).
At
trial,
Hogg
J.
referred
to
a
decision
of
the
High
Court
of
Justiciary
of
Scotland
in
Saltmarsh
v.
Adaire,
[1942]
S.C.
58
(Scotland
Ct.
Just.).
After
quoting
from
the
analysis
by
Hogg
J.
and
the
judgments
of
The
Lord
Justice-General
(Normand)
and
Lord
Moncrieff
in
the
Saltmarsh
case,
Rip
J.
observed
at
paragraph
21
:
[para
21]
Thus,
Lord
Justice-General
Normand
and
Lord
Moncrieff
appear
to
infer
that
a
“regular
minister”
is
one
who
1)
performs
spiritual
duties,
the
conduct
of
religious
services,
the
administration
of
sacraments
and
the
like;
ii)
is
appointed
by
a
body
or
person
with
the
legitimate
authority
to
appoint
or
ordain
ministers
on
behalf
of
the
denomination;
and
iii)
is
in
a
position
or
appointment
of
some
permanence.
In
the
absence
of
a
legitimate
appointment,
the
mere
performance
of
the
duties
of
a
minister
will
not
suffice,
in
their
view,
to
constitute
a
“regular
minister”.
I
am
satisfied
that
the
appellant
here
was
a
“regular
minister”
of
the
Pentecostal
Church.
He
meets
all
of
the
criteria
set
out
by
Rip
J.
His
appointment
was
made
in
accordance
with
formal
procedures
and
was
permanent
so
long
as
he
remained
in
the
function.
Was
he
ministering
to
a
congregation?
He
was
capable
of
performing
virtually
everything
the
Senior
Pastor
did,
and
in
fact
did
perform
many
of
those
functions.
However,
his
principal
activity
was
dealing
with
the
all-
important
musical
aspect
of
the
Church.
It
was
in
this
way
that
he
served
God
and
ministered
to
the
spiritual
needs
of
his
congregation.
The
way
in
which
one
ministers
to
the
needs
of
a
congregation
depends
upon
the
denomination
in
which
one
operates.
In
the
Pentecostal
Church
a
person
who
provides
the
musical
aspect
of
the
service
is
indeed
ministering
to
the
congregation’s
spiritual
needs
in
as
significant
a
way
as
a
minister
who
preaches
sermons.
The
appeal
is
allowed
and
the
assessment
is
referred
back
to
the
Minister
of
National
Revenue
for
reconsideration
and
reassessment
to
allow
to
the
appellant
the
deduction
under
paragraph
8(1)(c).
I
shall
defer
dealing
with
costs
in
all
of
these
cases
until
I
have
received
representations
from
counsel
for
all
parties.
Appeal
allowed.
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