Federal court | Tax | Income tax | Administration and enforcement
Waiver of penalties and interest. Canada Revenue Agency (CRA) refused to exercise discretion in s. 220(3.1) of Income Tax Act to cancel or waive remaining interest and penalties although it did waive some penalties and interest. Taxpayer brought application for judicial review of CRA’s decision. Application dismissed. Additional evidence tendered by taxpayer did not add anything new. CRA’s decision was reasonable, balanced and procedurally fair. CRA took account of taxpayer’s difficult circumstances in some periods but balanced that consideration with taxpayer’s ability to take out further loan and to lease cars, which suggested that taxpayer’s post-traumatic stress disorder (PTSD) was not so severe that he was unable to pay his tax debt. For periods when taxpayer’s PTSD was severe, tax relief was granted.
Norris v. Canada (Attorney General) (2018), 2018 CarswellNat 1, 2018 CarswellNat 6, 2018 FC 1, 2018 CF 1, Michael L. Phelan J. (F.C.).
