The Assistant Chairman:
1 This is the appeal of Allen Thomas Reid from income tax assessments in respect of the 1970, 1971, 1972 and 1973 taxation years.
2 The issue in this appeal is whether the appellant was, or was not, a resident of Canada in the years 1970 to 1973 inclusive. In his income tax returns for the taxation years 1970 to 1973, the appellant, considering himself to be a non-resident of Canada, included in the computation of his income for those years amounts received from Canadian sources, only.
3 By notices of assessment dated April 28, 1975 for each of the pertinent years, the Minister computed the appellant's income for the 1970 to 1973 taxation years on the basis that he was a resident of Canada in those years which resulted in an addition of income tax in the aggregate amount of $21,690.39 for the years under appeal.
4 The appellant, a professional hockey player under contract with the Minnesota North Stars, was born in Fort Erie, Ontario, where his parents still reside. The appellant was always interested in hockey and spent considerable time in the arena at Fort Erie.
5 The appellant was offered by the City of Fort Erie and accepted, a course in Arena Management at the University of Guelph, which consisted of classes, study of textbooks, field work and particular studies in refrigeration. Before becoming a registered arena manager, 3 years' experience in actual arena management was required. However, an arrangement was made to permit the appellant, who was then playing hockey every winter, to work at the arena during 10 consecutive summers which would be accepted as the equivalent of 3 years' experience so that the appellant would then be qualified to obtain his Arena Manager's certificate.
6 In 1967 the appellant played for the Chicago Black Hawks but was transferred to the Minnesota North Stars in 1969. The appellant's visa and his permit to work in the United States were arranged for by the team management, and the appellant's visa was valid from early September to late May in each of the years under appeal. After the end of the hockey season, the appellant had to return to Canada.
7 In 1970 the appellant married and during the hockey season rented a house in Minneapolis. In 1971 he and his wife moved into an apartment in Edina, Minnesota, and lived there from September of that year to May 1972. In May, he returned to Fort Erie and worked as an arena manager as part of his course in arena management. The appellant, having finally completed the required period of training in the summer of 1975, received his certificate in Arena Management from the University of Guelph.
8 In 1971 the appellant built a home in Fort Erie where he and his wife lived from June to September of each year. During the first year the appellant leased his Fort Erie residence for the hockey season from September to May but, because of the deterioration of the property while it was occupied by the tenants, the appellant decided not to lease the house in subsequent years.
9 In 1968 the appellant and his brother had invested in a house in Fort Erie for rental purposes from which some $1,800 in rental income was obtained. The appellant and his brother were also joint owners of a sporting goods store in Fort Erie. The appellant was a passive partner in this enterprise and did not receive a salary, although he received the benefit of his share of the partnership income which amounted to some $2,000 a year.
10 In travelling from Fort Erie to Edina, Minnesota, the appellant's belongings and those of his wife were transported back and forth in a trailer bought for that purpose.
11 The decision in this appeal must be based on the facts as they existed in the years 1970 to 1973. The evidence at that time, as I see it, is to the effect that the appellant, as a professional hockey player, was given a temporary visa to enter the United States for the period of the hockey season. At the end of the hockey season, the appellant returned to Fort Erie, where he had his home and where he worked as an arena manager and looked after his interest in the rental property and the sporting goods store owned by him and his brother.
12 The fact that, at the time of the hearing, the appellant and his wife indicated that it was their intention to move to Edina, Minnesota, permanently, that their home in Fort Erie in 1975 was up for sale, and that the interests and social life of the appellant and Mrs Reid were now centered in Edina where they now would enjoy living on a permanent basis, has, in my opinion, no bearing whatsoever on the facts as they existed in the years 1970 to 1973.
13 On the basis of the evidence, I must come to the conclusion that the appellant, although he was permitted entry to the United States on a temporary visa for the specific purpose of playing professional hockey, actually resided in Fort Erie, Ontario, where he had a home and business interests during the period of time relevant to the appeal.
14 I hold therefore that during the years in question the appellant was a resident of Canada and that the Minister of National Revenue did not err in assessing the appellant as a Canadian resident for the taxation years 1970 to 1973 inclusive.
15 The appeal must therefore be dismissed.
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