Richard A. Bureau Barrister & Solicitor Inc. – Tax Court of Canada leans in favour of giving a registrant its day in court
In granting an extension for an incorporated lawyer to appeal HST assessments to the Tax Court, Russell J accepted the testimony of the lawyer that his strategy was to see if anticipated income tax reassessments (both of his professional corporation and him personally) might assist the corporation’s HST position in its HST appeal. Russell J further stated:
I consider it just and equitable to permit an entity its day in court absent a clear rationale for declining to do so. As well … procedural gaffes are not so egregious as to require or demand denial of this application.
The tests in ETA s. 305(5)(b) for granting an extension are similar to ITA s. 166.2(5)(b) except that there is a further test in ETA s. 305(5)(b)(iv) that “there are reasonable grounds for appealing from the assessment.” Russell J stated in this regard that “there is a semblance of logic to … [the corporation’s] position, sufficient to constitute reasonable grounds.”
Neal Armstrong. Summary of Richard A. Bureau Barrister & Solicitor Incorporated v. The Queen, 2020 TCC 119 under ETA s. 305(5)(b).