Search - connection

The will of the deceased dated November 8, 1963 provides: (a) that the deceased’s wife and the National Trust Company Limited would be the executors and trustees of the Will—(Clause 2, page 1, of the Will); (b) that all just debts, funeral and testamentary expenses and all estate, inheritance and succession duties or taxes payable in connection with any property passing on his death should be paid out of, and charged to, the capital of his general estate—(Clause 4(d), page 5, of the Will); (c) that the residue of his estate be kept invested and the net income derived therefrom be paid to his wife until her death—(Clause 4(e), page 5, of the Will); (d) that notwithstanding anything in his Will, the deceased expressly authorized the Trustees at any time and from time to time during the lifetime of his wife, or so long as any of his children shall be living and under the age of twenty-one years, to pay to, or apply for, the maintenance or benefit of his children such amount or amounts out of the capital of the residue of his estate as his trustees in their uncontrolled discretion deem advisable—(Clause 7, page 7, of the Will). ...

He said that his valuation contained input of the various members of the team, weighed in the light of his experience in the market place, which is considerable, in connection with what is known in the trade as “investment letter stock”. ...

Some were incorporated to be the mortgagors to Great West Life, others that have been mentioned have no connection whatsoever with the transaction, and for the purposes of my judgment I completely disregard the limited companies, because there is an agreement of trust indicating that the true ownership of the subject property (being Lot 89, Plan 7607, for the Township of North York in the County of York) rests two-thirds with Reicher and Bradstock and one-third with an architect by the name of D Ross King who was closely associated with them in this venture. ...

I quote the section because it is short: 11. (1) Notwithstanding paragraphs (a), (b) and (h) of subsection (1) of section 12, the following amounts may be deducted in computing the income of a taxpayer for a taxation year: (ia) an amount paid by the taxpayer in the year as or on account of expenses incurred by him in attending, in connection with a business or profession carried on by him, not more than two conventions held during the year by a business or professional organization; There is no doubt that the conventions in question were held by business or professional organizations, nor is there any doubt—in fact, it is admitted—that the degree of success and study that Mr MacDonald has put into his vocation would qualify him as a professional within the meaning in my decision in Axler & Palmer Ltd v MNR, [1973] CTC 2167; 73 DTC 119. ...

I surmise that the part that was allowed was interest on his borrowings in connection with properties in which he himself owned a part interest or the properties that he had in his own name, or some other business or property that the Minister felt was one to which subparagraph 11 (1)(c)(i) of the former Act could properly apply. ...

The appellants’ rights and liabilities, in my opinion, stem only from the agreement, and the only reference to or connection with the Act is the matter of establishing the quantum of consideration by the respondent. ...

In that connection I would like to refer you to Harris v M.N.R., [1966] Canada Tax Cases, a Supreme Court of Canada decision. ...

That may be; but I think it is also a sound principle under the Income Tax Act that the Minister has applied the formula that he did in view of the fact that moneys were paid in the year prior to that in connection with this same loan, and there was nothing to indicate that it would not be recovered in the future. ...

The words of paragraph 5(1)(a) in this connection are so Clear that it is not necessary to refer to any jurisprudence concerning the interpretation of its provisions. ...

The relevant portion thereof reads as follows: 139. (1) In this Act, (ae) “personal or living expenses’’ include (i) 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. ...