Hugessen
J.A.:
—
The
only
issue
in
this
appeal
is
to
know
whether
the
Crown
had
correctly
proved
its
claim
to
unremitted
source
deductions
in
the
bankruptcy
of
Brunswick
Drywall
(Ontario)
Ltd.
so
as
to
engage
the
liability
of
the
appellant
as
a
director
thereof
pursuant
to
subsection
227.1(1)
and
paragraph
227.1(2)(c)
of
the
Income
Tax
Act
.
The
learned
Tax
Court
judge,
after
a
careful
and
detailed
study
of
the
relevant
texts
and
applicable
principles,
concluded
that,
because
the
statute
deems
source
deductions
to
be
trust
funds
in
the
hands
of
the
person
deducting
them
,
the
Crown
had
properly
filed
its
proof
of
claim
pursuant
to
section
81
of
the
former
Bankruptcy
Act
as
a
claim
for
“property,
or
interest
therein,
in
the
possession
of
a
bankrupt”.
We
agree.
The
conclusion
reached
by
the
learned
judge
was
the
only
one
properly
available
in
light
of
the
statutory
texts.
The
appeal
will
be
dismissed
with
costs.
Appeal
dismissed.
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