Roud Estate - Tax Court finds misrepresentation attributable to neglect, and recommends fairness relief on the same facts

Neither a taxpayer nor an individual holding her power of attorney were aware that the taxpayer had realized a capital gain when her shares in a corporation were exchanged for trust units following the corporation's conversion to an income trust, and their failure to report the gain was a misrepresentation that entitled the Minister to assess beyond the limitations period.  However, Boyle J. also stated that the situation was a "compelling case for the Minister to consider relief of at least some of the interest" the taxpayer owed.

Scott Armstrong.  Summary of Roud Estate v. The Queen, 2013 TCC 36, under s. 152(4)(a)(i).