Date: 20011213
Docket: A-71-00
Neutral citation: 2001 FCA 394
CORAM: ROTHSTEIN J.A.
NOËL J.A.
MALONE J.A.
BETWEEN:
DALLAS IAN HAY
Appellant
and
HER MAJESTY THE QUEEN
Respondent
Heard at Vancouver, British Columbia, on December 12, 2001.
Judgment delivered at Vancouver, British Columbia, on December 13, 2001.
REASONS FOR JUDGMENT BY: NOËL J.A.
CONCURRED IN BY: ROTHSTEIN J.A
MALONE J.A.
Date: 20011213
Docket: A-71-00
Neutral citation: 2001 FCA 394
CORAM: ROTHSTEIN J.A.
NOËL J.A.
MALONE J.A.
BETWEEN:
DALLAS IAN HAY
Appellant
and
HER MAJESTY THE QUEEN
Respondent
REASONS FOR JUDGMENT
NOËL J.A.
[1] This is an appeal for a decision of Judge O'Connor dismissing in part Mr. Hay's appeal with respect to his 1993, 1994 and 1995 taxation years. The decision in question pertained to both Mr. Hay and his wife, Catherine Rose Hay. However only Mr. Hay proceeded with the appeal before this Court.
[2] The Tax Court Judge allowed Mr. Hay's appeal with respect to the losses which were incurred for his kennel activities. However, he denied the farming losses and the losses resulting from his taxidermy and writing activities. According to the Tax Court Judge, these endeavours did not give rise to reasonable expectation of profit. Furthermore, the taxidermy and writing activities were more akin to a hobby rather than a business.
[3] Mr. Hay takes issue with the decision of the Tax Court Judge on a variety of grounds. However, he has failed to demonstrate the existence of any reviewable error.
[4] It suffices to say for present purposes that the Tax Court Judge was justified in treating the appellant's activities as separate sources of income. Indeed, this permitted him to allow the appellant's losses with respect to his kennel activities. Otherwise, the evidence, and in particular the lack of returns from the farming activity clearly show that Mr. Hay could not reasonably expect to make a profit. Insofar as the writing and taxidermy activities are concerned, the evidence supports a conclusion that there was no business at all as Mr. Hay did not pursue these activities in 1994 and 1995 and little, if anything, was done in 1993.
[5] I would dismiss the appeal with costs.
(Sgd.) "Marc Noël"
J.A.
I agree: (Sgd.) "Marshall Rothstein"
J.A.
I agree: (Sgd.) "B. Malone"
J.A.
FEDERAL COURT OF APPEAL
NAMES OF COUNSEL AND SOLICITORS OF RECORD
DOCKET: A-71-00
STYLE OF CAUSE: Dallas Ian Hay v. HMQ
PLACE OF HEARING: Vancouver, BC
DATE OF HEARING: December 12, 2001
REASONS FOR JUDGMENT : NOËL J.A.
CONCURRED IN BY: ROTHSTEIN, MALONE JJ.A.
DATED: December 13, 2001
APPEARANCES:
Dallas Ian Hay FOR THE APPELLANT
FOR THE RESPONDENT
Victoria Bryan
SOLICITORS OF RECORD:
Dallas Ian Hay FOR THE APPELLANT
Victoria BC
Morris Rosenberg FOR THE RESPONDENT
Attorney General of Canada
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