Greene v. M.N.R.
T-1056-94
Rothstein J.
13/1/95
13 pp.
Applicant reporting large capital loss and seeking to carry back portions of loss to reduce taxable income in preceding three years -- Following Minister's inaction, applicant obtaining court order directing Minister to reassess applicant's tax for years in issue pursuant to Income Tax Act, s. 152(6)-Minister issuing reassessments of taxes but disallowing capital loss -- Issue whether s. 152(6) words "Minister shall reassess ... to take into account deductions claimed" requiring Minister to allow deduction claimed or merely to consider deduction claimed and to allow only those which he assesses to be appropriate-Reassessments issued by Minister constituting decisions made by federal board in course of its proceedings and may not be reviewed or otherwise dealt with except in accordance with Act of Parliament pursuant to Federal Court Act, s. 18.5 -- S. 18.5, in conjunction with Income Tax Act, ss. 165(1) and 169(1), allowing only Minister and Tax Court to review or otherwise deal with assessments-Statutory appeal to Tax Court applicant's only recourse -- No jurisdiction in Federal Court to entertain application-Jurisdiction problem aside, judge finding Minister's assessments complying with order -- Words "take into account" in s. 152(6) not compelling Minister to allow deduction, only requiring Minister to consider deductions -- Parliament not intending to oblige Minister to reassess by allowing deduction claimed where deduction not supported by relevant information -- Parliament intending to confer on both Minister and taxpayer recourse from deduction claimed: Minister not compelled to allow deduction and taxpayer provided with statutory appeal of Minister's decision -- Application dismissed -- Federal Court Act, R.S.C., 1985, c. F-7, s. 18.5 (as enacted by R.S.C., 1990, c. 8, s. 5) -- Income Tax Act, S.C. 1970-71-72, c. 63, ss. 152(6) (as am. by S.C. 1984, c. 1, s. 84; c. 45, s. 59; 1986, c. 55, s. 59; 1988, c. 55, s. 136; 1990, c. 39, s. 38), 165(1) (as am. by S.C. 1994, c. 7, Sch. II, s. 138), 169(1) (as am. idem, s. 140).