Guindon – Supreme Court of Canada finds that “culpable conduct” under s. 163.2 must be at least as bad as gross negligence under s. 163(2)

Before finding the preparer’s penalty under s. 163.3(4) is not a criminal penalty so that the preparer does not benefit from procedural protections under s. 11 of the Charter, Rothstein J quoted the definition of "culpable conduct" and stated:

"[W]ilful, reckless or wanton disregard of the law" refers to concepts well-known to the law, commonly encountered as degrees of mens rea in criminal law… . [T]he standard must be at least as high as gross negligence under s. 163(2)… .

A family lawyer and president of a charity was liable for penalties (of $547,000, before add-ons) for issuing charitable receipts to 134 different investors in a charitable donation scheme after falsely representing in a tax opinion that that she had looked at the implementing documents (which did not exist).

Neal Armstrong. Summaries of Guindon v. The Queen, 2015 SCC 41 under s. 163.2(4) and s. 163.2(1) – culpable conduct.