Search - connection

It is said to have been signed by Zimmerman's Budapest connection. ...

In so reassessing the Appellant, the Respondent found or assumed: (a) the facts hereinbefore pleaded; (b) that the farm was maintained by the Appellant for his own use and benefit or for the use and benefit of persons connected with the Appellant by blood relationship or marriage and was not maintained in connection with a business carried on for profit or with a reasonable expectation of profit; (c) that the expenses incurred by the Appellant with respect to his farming activities were personal or living expenses of the Appellant and not outlays or expenses incurred during income from a business or property. 10. ...

None of these three appeared at the hearing or testified in connection with the matter. ...

The Appellant did not engage in any activity in connection with his investments in horses. ...

For the respondent — from the reply to notice of appeal: — The Appellant is employed as a sales engineer for United Electric; — in 1974, the Appellant purchased a farm from his father-in-law for $92,500.00, including a mortgage of $62,500.00; — from the time of the acquisition of the farm, no profit has been earned by the Appellant from its operation; — the farm was maintained by the Appellant for his own use or benefit, and for the benefit of persons connected with the Appellant by blood relationship or marriage and was not maintained in connection with a business carried on for profit or with a reasonable expectation of profit; — the expenses incurred by the Appellant with respect to the farm were personal or living expenses of the Appellant and not outlays or expenses incurred to earn income from the business or property. ...

The law is clear; there is no requirement that the outlay or expense should result in profit, either in the year of the expense or any other, nor is it necessary to show a particular causal connection between an expenditure and a receipt (see Royal Trust Company v MNR, 57 DTC 1055 (Ex Ct). ...

It should be noted in this connection that in the voluntary system of income declaration administered by the Department of National Revenue, only the taxpayer can decide for himself the extent to which his record keeping for business or personal purposes will also be adequate, if needed, in the determination of income tax liability for departmental purposes. ...

—personal or living expenses of the taxpayer except travelling expenses (including the entire amount expended for meals and lodging) incurred by the taxpayer while away from home in the course of carrying on his business; “Personal or living expenses" — “personal or living expenses” includes (a) the expenses of properties maintained by any person for the use or benefit of the taxpayer or any person connected with the taxpayer by blood relationship, marriage or adoption, and not maintained in connection with a business carried on for profit or with a reasonable expectation of profit. 4.02 Cases at Law The cases at law referred to the Court by the parties are: 1. ...

In my opinion there was insufficient evidence before me from which an inference could reasonably be drawn that the amounts in question were, in respect of the applicability of that subsection, excessive, unreasonable, unnatural or not in accordance with normality. [2] While the Minister’s counsel asserted that the source of the $15,000 had the effect of “tainting” the whole transaction, [3] the evidence at the hearing fell far short of establishing any connection or conspiracy between or amongst the parties to the subject transactions that could support an inference amounting to an artificiality, simulation or fiction in respect thereof. [4] The absence of any identifiable provision of the Act encouraging investment or business activity in the nature of franchising speed reading courses does not assist either party to this Appeal. [5] Similarly I am unable to find, on the evidence heard, that the conduct of this taxpayer amounted to a “designed effect of defeating the expressed intention of Parliament, [6] nor is there any contradistinction to be found in this case in respect of the interpretative guidelines formulated by Estey, J in Stubart Investments Ltd v The Queen. ...

Taylor, TCJ:—This is an application for extension of time within which to file a notice of objection in connection with an income tax assessment for the year 1981. ...