Audited Financial Statements - Administered Activities

Notes to the Financial Statements - Administered Activities

9. Contingent liabilities

Contingent liabilities include previously assessed taxes where amounts are under objection or are being appealed to the Tax Court, the Federal Court of Canada or the Supreme Court of Canada. As at March 31, 2005, an amount of $9,537 million was under objection at the Agency level ($7,553 million for 2004 excluding $62 million for customs activities) and an amount of $1,360 million was being appealed to the courts ($974 million for 2004 excluding $12 million for customs activities). The Agency has recorded a provision of $51 million for 2005 in amounts payable to taxpayers ($53 million for 2004) to reflect the estimated amount of objections or appeals that are considered likely to be lost and that can be reasonably estimated.

Date modified:

2005-10-26