Taylor,
T.C.C.J.:—This
is
an
appeal
under
the
informal
procedure,
heard
in
Sudbury,
Ontario
on
August
11,
1993,
against
a
notice
of
determination
of
loss
dated
February
16,
1993,
showing
that
loss
to
be
$6,296.33
rather
than
the
amount
reported
by
the
appellant
as
$18,289.33.
The
written
request
for
such
determination
had
been
made
by
the
taxpayer
as
a
result
of
reassessment
dated
June
28,
1985,
for
the
taxation
year
1982,
showing"
nil”
taxes
payable.
The
amount
of
$11,993
difference
($18,289.33
—
$6,296.33)
was
explained
by
the
respondent
as
additional
recapture
of
C.C.A.
$11,993.
In
the
notice
of
appeal,
dated
February
25,
1993,
relevant
to
this
trial,
in
detailing
the
history
of
this
matter,
Mr.
A.C.
Davis,
president
of
the
appellant
company,
stated:
We
had
reported
recapture
on
the
sale
of
individual
properties
on
our
1973
tax
return.
However,
we
were
audited
during
1978
by
a
Mr.
Mike
Hukezalie
of
the
tax
department
and
he
disallowed
our
method
of
dealing
with
these
sales
on
an
individual
recapture
basis,
and
insisted
on
full
recapture
of
all
accumulated
C.C.A.
on
the
entire
class.
This
put
a
great
burden
on
us
at
that
time
but
on
his
insistence
we
paid
the
income
tax
on
the
full
amount.
Because
of
this
he
also
disallowed
the
C.C.A.
we
had
claimed
in
the
following
years
on
the
remaining
properties
in
this
class.
As
a
result
we
paid
an
amount
of
$5,861.81
in
additional
taxes
and
interest
after
this
audit.
In
effect
therefore
we
have
not
taken
C.C.A.
on
class
6
properties
since
1972
and
no
further
entries
were
made
on
our
subsequent
C.C.A.
Schedules.
Attached
to
the
reply
to
notice
of
appeal
was
Schedule
B,
which
read:
1982
Recaptured
Capital
Cost
Allowance
Calculations
Pursuant
to
subsection
13(1)
of
the
Act
subparagraph
13(21
)(f)(iii)
Total
Class
6
Capital
Cost
|
Allowance
allowed
|
$23,442.69
|
|
|
subparagraph
13(21
)(f)(iv)
|
|
|
Lesser
of
Net
Proceeds
|
|
|
and
Capital
Cost
for
each
|
|
|
Disposition
|
41,941.50
|
$65,384.19
|
Less:
Subparagraph
13(21)(f)(i)
Capital
Cost
of
each
|
Class
6
Property
|
$51,364.00
|
|
|
Subparagraph
13(21)(f)(ii)
|
|
|
Previous
Recaptured
|
|
|
Capital
Cost
Allowance
|
2,027.19
|
53,391.19
|
|
$11,993.00
|
There
was
no
evidence
brought
forward
by
the
appellant
that
the
critical
amount
of
$23,442.69
above
was
in
error,
as
capital
cost
allowance,
or
that
it
could
not
have
been
allowed
prior
to
1972
even
if
the
assertion
of
the
appellant
was
correct
for
the
period
since
1972.
The
appeal
is
dismissed.
Appeal
dismissed.
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