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In the case of E V Booth (Holdings) Ltd v Buckwell (Inspector of Taxes) [1980] Simon’s TC 578 the judgment states at 584: In my judgment, where parties to a composite transaction have, as a result of negotiations between themselves, provided that part of the consideration is to be paid for one part of the transaction and part for another, they cannot subsequently seek to re-allocate the consideration for tax purposes. ...

That, perhaps, accounts for the anomaly, noted by the Supreme Court at 579 of the Cewe decision, that in Atkins... consideration appears to have been given only to the question whether the damages for wrongful dismissal were income “from an office or employment” within the meaning of ss 5 and 25 of the Income Tax Act. No consideration appears to have been given to the broader question whether they might not be income from an unspecified source under the general provision of s 3. ...

T-3700-82 on May 8, 1991, the learned Associate Chief Justice states at page 5: Here, the onus lies with the plaintiff to establish that its manufacturing activities bring it within the definition of” manufacturer or producer" in paragraph 2(1)(f) of the Excise Tax Act and that it is not precluded from such consideration on the basis of the defendant's assumption that its dealers are operating retail stores within the meaning of that section. ... Here, if the plaintiff establishes that its manufacturing activities fall within the definition in paragraph 2(1)(f) then it will be entitled to the consideration provided in subsection 26(1) for similar goods". ...

The Tax Appeal Board rejected the arguments put forward by the appellant in the following words (pages 320-21 (D.T.C. 697)): After a careful review and thoughtful consideration of the evidence adduced and of the provisions of section 85D of the Income Tax Act under which this appeal falls to be decided, I have reached the conclusion that the section taken as a whole, which, in my opinion, is the way in which it must be interpreted, is intended to apply to persons who fall to be taxed or otherwise dealt with under the provisions of the Canadian Income Tax Act and who report to the Canadian Government the income arising from the operation of the business or businesses whose sale is the central concern of the said section 85D. ... Counsel for the respondent suggested that the same reasoning applies to subsection 20(14) under consideration in this appeal. ...

Le premier paragraphe de cette entente se lit comme suit: This will confirm my purchase from you and your sale to me of 8,400 common shares of Cemp Holdings Ltd (hereinafter called "the Company") without nominal or par value for and in consideration of a purchase price of $21.00 per share aggregating $176,400 whereof $100 has been paid on account as herewith acknowledged by you, and the balance shall be payable ten (10) years from date hereof. ... Indeed the presence of the term "sans mise en demeure", because of its utter inapplicability to the case of a purchaser asserting that by his default he has put an end to the contract, affords an additional reason for taking this view of the stipulation under consideration. 3 Q.R. 50 S.C. 350 4 Q.R. 51 S.C. 207 7 Mignault 137 (Emphasis added.) ...

After consideration of the jurisprudence however I have reached the conclusion that this would not be an appropriate case in which to apply Rule 474. ... While certainly I would not wish to create a precedent of general application to the effect that questions of this nature can be considered in advance rather than being left for consideration by the trial judge, it appears to me that on the facts of this case and in view of the very complete argument on the question which has been made it is in the interest of justice and the inherent jurisdiction of this Court over its process that in the circumstances of this particular case the Charter of Rights argument invoked by plaintiff relating to production of said document should be considered and dealt with. ...

The primary object of a succession duty statute, such as the legislation under consideration, is to capture such amounts for the fiscal coffers as the words of the statutory net can catch. ... The Court must no doubt ascertain the subject matter to which the particular tax is by the statute intended to be applied, but when once that is ascertained, it is not open to the Court to narrow or whittle down the operation of the Act by seeming considerations of hardship or of business convenience or the like. ...

  [18]            In this case, the issue is whether the Minister’s failure to assess is due to irrelevant considerations or improper purpose. ... The standard of review is either correctness because improper purpose goes to jurisdiction or irrelevant considerations, arbitrariness and improper purpose make a decision unreasonable. ...

  [25]         Subsection 162(11) of the Act reads as follows:   (11) For the purpose of computing a penalty under subsection 162)(1) or 162(2) in respect of a person’s return of income for a taxation year, the person’s tax payable under this Part for the year shall be determined before taking into consideration the specified future tax consequences for the year ...   [35]         Subparagraph 161(7)(a)(iv) of the Act provides in essence that, in computing interest on tax for a taxation year, the tax payable for the year is deemed to be the amount it would be if the consequences of the deduction under section 111 in respect of a loss for a subsequent taxation year were not taken into consideration. ...

The amounts held as non-resident withholding tax are admitted by defendant so are not in issue although they do not work out to 15 per cent and will, of course, be taken into consideration in the calculation of any balance of tax claimed as a result of the reassessments. ... Since 1980 it has now become a limited company but this has no bearing on the years under consideration. ...