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The court dismissed the bankrupt's motion to vary a refused discharge order, finding no fundamental change in circumstances or new evidence of rehabilitation.
The bankrupt sought to vary a prior order refusing discharge under section 187(5) of the Bankruptcy and Insolvency Act.
The bankrupt was deemed bankrupt on June 21, 2011, following rejection of a Division I proposal.
The cause of bankruptcy was the failure of True Blend Tobacco Company Inc., a company co-owned by the bankrupt.
The bankrupt had previously been bankrupt in 1994 from a failed restaurant franchise.
The discharge was refused in 2017 on multiple grounds including failure to cooperate with the trustee, failure to provide sufficient information regarding surplus income obligations, transfer of shares to his mother after bankruptcy without informing the trustee, and failure to maintain proper books and records.
The court dismissed the motion to vary, finding the bankrupt had not met the onus to establish fundamental changes in circumstances or new evidence of a substantial nature that would justify varying the refusal order.
The court found the bankrupt continued to demonstrate credibility issues, had incorporated a new corporation despite swearing he would not, and had failed to follow the roadmap set out for rehabilitation.
Appeal dismissed; input tax credits denied as appellant was not engaged in commercial activity.
The appellant corporation appealed the Minister's assessment disallowing input tax credits (ITCs) of $6,690 for various reporting periods.
The Minister disallowed the ITCs on the basis that the appellant was not engaged in a commercial activity and the expenses were personal to its sole shareholder.
The Tax Court of Canada found that the appellant had no target industry, clients, or revenue, and the expenses claimed (such as clothing and groceries) were personal in nature.
The appeal was dismissed.
