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(Planora) company as Vice President of Science and Technology; b) the contract of employment stipulated that the annual base salary was $200,000 and that the appellant could receive 25% of the base salary as an annual bonus; c) during the period at issue, the appellant reported employment income of $22,364 and a retiring allowance of $166,666.60 from Planora; d) the appellant received employment income from Planora for only a few weeks during the 2013 taxation year; e) when he filed his income tax return for the 2013 taxation year, the appellant claimed an amount of $27,406 as «other expenses»; f) during the audit, the appellant provided a statement of employment expenses, on which the Minister adjusted the expenses as follows: Employment expense Amount reported Amount claimed in the audit Amount allowed Amount disallowed Entertainment [BLANK] $6,507 $558 $5,949 Lodging [BLANK] $603 $0 $603 Telephone and internet [BLANK] $2,504 $14 $2,490 Parking [BLANK] $56 $0 $56 Supplies [BLANK] $2,650 $480 $2,170 Travelling expenses [BLANK] $17,400 $0 $17,400 Work‑space‑in‑the‑home expenses [BLANK] $3,893 $1,947 $1,946 Total $27,406 $33,613 $2,999 $30,614 g) Under his contract of employment, the appellant was reimbursed for all expenses he incurred in the course of his duties; h) during the 2012 taxation year, Planora was sold; i) Jean‑François Gagné was a shareholder of Planora; j) upon direction from the new shareholders and because he was the only representative in Canada, Jean‑François Gagné only signed the Form T2200 «Declaration of Conditions of Employment»; k) Jean‑François Gagné confirmed no conditions of employment; l) nearly all of the employment expenses the appellant claimed as «other expenses» were incurred after his contract of employment with Planora had ended; Entertainment m) the amount of $5,949 ($11,898 x 50%) claimed as entertainment expenses was not incurred by the appellant; n) the appellant was never away for 12 consecutive hours from the region where he was required to work; Lodging o) the amount of $603 claimed for lodging was not incurred in the course of the appellant’s employment activities; Telephone and internet p) the amount of $2,490 claimed for telephone and internet was not incurred in the course of the appellant’s employment activities; Parking q) the amount of $56 claimed for parking was not incurred in the course of the appellant’s employment activities; Supplies r) the amount of $2,170 claimed for supplies is disallowed because it was incurred in connection with, among other things, the purchase of equipment, such as a monitor and headset; Travelling expenses s) the amount of $17,400 claimed for travelling expenses was not incurred in the course of the appellant’s employment activities; Work‑space‑in‑the‑home expenses t) at the time of the audit, the appellant claimed 25% of the following expenses: [BLANK] Statement of expenses Monthly rent for 12 months $14,705 Electricity and heating $3,538 Furnace maintenance $127 Total expenses $18,370 Total of expenses claimed (25%) $3,893 u) the Minister disallowed 50% of the amount claimed, that is, $1,946, on the grounds that two people were responsible for lodging expenses. ...

The Respondent also submits that the only two exceptions to the general rule in paragraph 6(1)(b) that could apply to exclude these travel allowances are contained at subparagraph 6(1)(b)(vii.1) and subsection 6(6): Amounts to be included as income from office or employment 6 (1) There shall be included in computing the income of a taxpayer for a taxation year as income from an office or employment such of the following amounts as are applicable … (b) all amounts received by the taxpayer in the year as an allowance for personal or living expenses or as an allowance for any other purpose, except … (vii.1) reasonable allowances for the use of a motor vehicle received by an employee (other than an employee employed in connection with the selling of property or the negotiating of contracts for the employer) from the employer for travelling in the performance of the duties of the office or employment. ...

The Mortgage Representative expressly acknowledges that a breach of any of the obligations described above will entitle the Federation to terminate this Agreement immediately upon notice of termination. 5.2   For the duration of this agreement, the Mortgage Representative undertakes not to engage in any activity that could compromise the existing business relationship between the Federation and the Caisses, or between the Federation and a market intermediary with whom an agreement has been entered into in connection with mortgage referrals, or prejudice the interests of the Federation and/or the Caisses. ...

This indicates that there was separate consideration for the loan other than the dividend. [31]   Finally, a review of the pertinent documents relating to these transactions discloses no connection between the dividend and the loan. ...

It is the activity that resulted in the charges and its connection to the business that determine the deductibility of the legal expenses associated with the defence. [24]   Justice Lamarre of this Court, relying on the dicta of Justice Iacobucci of the Supreme Court of Canada in Symes v. ...

The appellant's business was to purchase and sell land to syndicates of investors from the general public and to enter into an agreement (the "project agreement") with the investor syndicate to construct a specified high-rise residential project for the investor syndicate on the land and to provide certain development services in connection therewith. ...

., 3 Tax A.B.C. 397. 5.06 The connection between the transaction at issue and the usual course of the taxpayer's business is another test that has been adopted in the case law. ...

At the present time Eckler has no further connection to the appellant or any related company. ...

In my view the overriding inference to be extrapolated from all this is that due to the very close family connection the whole matter had been dealt with in a very casual and most informal basis. ...

In connection with the amounts of penalties and interest relating to those unremitted source deductions assessed against the corporation, it was aknowledged by the appellant that they could properly be the subject matter of a valid claim against the appellant, the requirements of paragraph 227.1(2)(c) having been met in the present case. ...