King,
D.J.T.C.:—The
appellant
is
appealing
from
a
reassessment
for
his
1986
taxation
year.
Counsel
for
the
respondent
advised
the
Court
that
the
respondent
was
consenting
to
the
appeal
being
allowed.
The
appellant
asked
for
costs
and
the
respondent
would
not
agree
to
costs
being
allowed
so
evidence
was
called
with
respect
to
that
aspect
only.
The
Rules
(The
Tax
Court
of
Canada
Rules
of
Practice
and
Procedure
for
the
Award
of
Costs
(Income
Tax
Act),
8
C.T.S.
169-109)
relating
to
the
awarding
of
costs
with
respect
to
appeals
instituted
before
the
Tax
Court
of
Canada
took
effect
on
January
16,
1985.
These
Rules
were
made
pursuant
to
section
169
of
the
Income
Tax
Act,
R.S.C.
1952,
c.
148
(am.
S.C.
1970-71-72,
c.
63).
Sections
4,
5,
6
and
7
of
these
Rules
read
as
follows:
Award
of
Costs
4.
Subject
to
section
5,
costs
on
an
appeal
shall
be
in
the
discretion
of
the
judge
by
whom
the
appeal
is
disposed
of
where
the
disposition
is
favourable
to
an
appellant,
unless
otherwise
ordered.
5.
(1)
Costs
may
only
be
awarded
to
an
appellant
who
has
substantially
succeeded
in
the
appeal.
(2)
A
judge
may
direct
the
payment
of
a
fixed
sum
in
lieu
of
taxed
costs.
(3)
In
exercising
his
discretion
respecting
costs,
a
judge
shall
to
such
extent,
if
any,
as
may
be
appropriate
in
the
circumstances
take
into
account
(a)
any
unnecessary
or
improper
act
or
omission
by
or
on
behalf
of
the
appellant
or
the
respondent;
(b)
the
amount
of
tax,
interest
or
penalties
in
issue
in
the
appeal;
(c)
the
complexity
of
the
appeal;
(d)
the
importance
of
the
issues;
and
(e)
any
other
matter
relevant
to
the
question
of
costs.
(4)
Without
limiting
the
generality
of
subsection
(3),
a
judge
shall,
for
the
purpose
of
that
subsection,
have
regard
in
particular
to
the
following
matters:
(a)
the
omission
to
do
anything
the
doing
of
which
would
have
been
calculated
to
save
costs;
(b)
the
doing
of
anything
calculated
to
occasion,
or
in
a
manner
or
at
a
time
calculated
to
occasion,
unnecessary
costs;
and
(c)
any
unnecessary
delay
in
the
proceedings.
6.
Unless
otherwise
ordered,
where
a
consent
judgment
has
been
issued
in
favour
of
an
appellant,
he
may
have
his
costs
taxed.
7.
Where
the
judge
who
disposes
of
an
appeal
does
not
entertain
an
application
by
the
appellant
or
respondent
concerning
costs
in
the
appeal,
and
either
party
desires
a
special
direction
in
that
regard,
the
appellant
or
respondent
may
apply
to
the
Chief
Judge
for
any
special
direction
concerning
costs
contemplated
by
these
Rules.
As
can
be
seen
from
the
above
Rules,
the
appellant
having
succeeded
in
his
appeal
may
be
awarded
costs.
Section
6
specifically
refers
to
consent
judgments
as
was
the
case
here.
Having
heard
the
evidence,
it
was
clear
that
there
perhaps
was
some
delay
in
the
obtaining
of
requested
information
from
the
appellant.
In
my
opinion,
it
was
not
of
sufficient
importance
to
preclude
costs
being
allowed
to
the
appellant.
It
is
my
opinion
that
the
delay
was
not
such
to
have
the
Court
override
the
general
rule
that
costs
will
be
awarded
in
favour
of
the
successful
party.
The
appeal
is
allowed
and
costs
awarded
to
the
appellant.
Appeal
allowed.
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