A
W
Prociuk:—The
appellant
appeals
from
the
respondent’s
reassessment
wherein
a
voluntary
contribution
of
$1,500
in
the
taxation
year
1971
into
a
registered
pension
plan
for
past
services
was
disallowed.
In
that
year
the
appellant
who
worked
for
the
same
group
of
companies,
Robson-Lang
Leathers
Lid
or
its
predecessor
companies,
continuously
since
1945,
contributed
the
sum
of
$1,500
in
1977
in
respect
of
current
services.
He
then
made
a
voluntary
contribution
of
another
$1,500
for
past
services
for
the
year
1944.
At
the
hearing
of
this
appeal,
the
appellant
testified
that
in
1944
he
was
a
member
of
the
Canadian
Armed
Forces.
In
each
of
the
years
1945
to
1970
inclusive
he
made
contributions
in
varying
amounts
to
a
pension
fund
established
by
his
employer.
Mr
F
Lorenzen,
CA,
argued
on
behalf
of
the
appellant
that
the
appellant
was
entitled
to
make
a
voluntary
contribution
of
$1,500
for
the
year
1944
pursuant
to
the
provisions
of
paragraph
11(1)(i)
of
the
Income
Tax
Act
as
it
was
in
force
in
1971,
by
reason
of
the
fact
that
he
was
not
a
contributor
in
the
year
1944.
The
section
reads
as
follows:
11.
(1)
Notwithstanding
paragraphs
(a),
(b)
and
(h)
of
subsection
(1)
of
section
12,
the
following
amounts
may
be
deducted
in
computing
the
income
of
a
taxpayer
for
a
taxation
year:
(i)
amounts
contributed
by
the
taxpayer
to
or
under
a
registered
pension
fund
or
plan,
(i)
not
exceeding
in
the
aggregate
$1,500
in
the
year,
if
retained
by
his
employer
from
his
remuneration
for
or
under
the
fund
or
plan
in
respect
of
services
rendered
in
the
year
or
paid
into
or
under
the
fund
or
pian
by
the
taxpayer
as
part
of
his
dues
for
the
year
as
a
member
of
a
trade
union,
(ii)
not
exceeding
in
the
aggregate,
the
lesser
of
(A)
$1,500
paid
in
the
year
into
or
under
the
fund
or
plan
by
the
taxpayer
in
respect
of
services
rendered
by
him
previous
to
the
year
while
he
was
not
a
contributor,
or
(B)
that
part
of
an
amount
paid
in
the
year
into
or
under
the
fund
or
plan
by
the
taxpayer
in
respect
of
services
rendered
by
him
previous
to
the
year
while
he
was
not
a
contributor
that
is
not
in
excess
of
the
amount
obtained
by
multiplying
the
number
of
years
previous
to
the
year
in
which
he
rendered
services
while
he
was
not
a
contributor
by
$1,500
and
subtracting
from
the
product
the
aggregate
of
all
amounts
deducted
under
this
subparagraph
in
previous
years,
to
the
extent
not
deductible
in
the
immediately
preceding
year
under
paragraph
(u),
and
(iii)
not
exceeding
in
the
aggregate
$1,500
minus
any
amount
deducted
under
subparagraph
(i)
or
(ii)
in
computing
his
income
for
the
year,
paid
in
the
year
into
or
under
the
fund
or
plan
by
the
taxpayer
in
respect
of
services
rendered
by
him
previous
to
the
year
while
he
was
a
contributor,
to
the
extent
not
deductible
in
the
immediately
preceding
year
under
paragraph
(u);
In
Beauchamp
v
MNR,
[1972]
CTC
2077;
72
DTC
1086,
Mr
A
J
Frost,
FCA,
the
presiding
Member
of
the
Board,
stated
at
pages
2078
and
1087
respectively:
The
section
indicates
clearly
that
where
a
taxpayer
is
a
contributor
he
is
not
permitted
to
deduct
more
than
$1,500
for
current
and/or
previous
services
in
any
taxation
year.
As
the
appellant
was
a
participating
member
of
the
plan
from
1944
and
contributed
to
the
plan
on
a
regular
basis,
he
is
not
entitled
to
deduct
more
than
$1,500
in
any
taxation
year.
I
am
in
complete
agreement
with
that
interpretation.
In
the
instant
case,
the
appellant
was
a
non-contributor
in
1944.
It
would
appear
to
me
that
before
the
appellant
may
deduct
a
contribution
for
that
year,
he
would
have
to
establish
that
there
was
a
pension
fund
or
plan
registered
by
the
respondent
which
entitled
him
to
do
so
notwithstanding
the
fact
that
he
was
not
employed
by
his
present
employer
or
its
predecessor.
There
is
no
evidence
to
this
effect.
The
appeal
is
dismissed.
Appeal
dismissed.
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