Delmer
E
Taylor
(orally:
April
4,
1978):—These
are
appeals
from
Brunhilde
Wechsel
and
Reinhold
Wechsel
dealing
with
the
taxation
years
1973
and
1974.
Essentially,
they
have
arisen
from
notices
of
reassessment
for
1973
dated
August
20,
1976,
and
for
1974
dated
June
13,
1977.
The
Board
had
considerable
difficulty
in
arriving
at
the
precise
nature
of
the
appeals.
The
notices
of
appeal,
or
at
least
the
letters
filed
by
the
appellants
with
the
Board,
while
providing
considerable
detail
and
information,
are
hardly
specific
enough
for
the
purposes
of
the
hearing.
The
Minister’s
reply
to
the
respective
notices
of
appeal
attempted
to
meet
the
points
raised
by
the
appellants..
Effectively,
there
have
been
four
matters
in
dispute
and
the
appeals
were
heard
on
common
evidence.
One
matter
deals
with
the
amount
of
$180
for
family
allowances,
which
the
appellants
claim
should
not
be
taxable
in
their
hands
as
it
was
funds
finally
received
by
their
son.
That
matter
is
dismissed.
The
second
matter
which
arose
was
in
connection
with
the
designation
of
a
property
on
19th
Avenue
near
Markham,
Ontario,
as
a
principal
residence.
That
matter
is
also
dismissed.
No
substantial
evidence
was
presented
by
the
appellants
in
support
of
either
of
these
points.
The
third
matter
deals
with
the
inclusion
in
the
1973
income
of
the
appellants
(50%
for
each)
of
an
amount
of
$4,490.66
arising
from
a
reserve.
The
Minister
has
provided
calculations
with
respect
to
that
amount
and
details
which
have
satisfied
the
Board
that
it
is
an
appropriate
amount
on
taxable
income
in
the
hands
of
the
appellants.
The
fourth
matter
deals
with
the
calculation
in
1973,
in
the
assessment
notice
of
August
20,
1976,
of
the
gain
on
the
sale
of
a
property
on
19th
Avenue,
Markham,
Ontario.
Earlier
the
Board
concluded
that
this
property
was
not
the
principal
residence
of
the
appellants.
The
Board
is
satisfied
that
the
amount
of
$21,860.22
as
calculated
is
the
gain
on
the
property
and
has
been
properly
treated
by
the
Minister.
The
Board
is
also
satisfied
that
in
the
assessment
notices
the
appropriate
allowance
has
been
made
by
the
Minister
for
amounts
previously
reported
as
income
by
the
appellants,
and
the
Board
is
further
satisfied
that
in
the
assessment
notices
subsequent
to
those
to
which
we
have
made
reference,
the
Minister
has
adopted
a
course
with
regard
to
the
sale
of
the
Markham
property
which
has
allowed
the
appellants
the
benefit
of
any
clauses
in
the
Income
Tax
Act,
SC
1970-71-72,
c
63,
dealing
with
reserves
or
allowances.
The
appeals
of
both
appellants
are
dismissed.
Appeals
dismissed.
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