The appellant appealed a reassessment of his 2011 taxation year that disallowed a deduction for renounced Canadian Exploration Expenses.
The reassessment was issued after the normal reassessment period.
The Minister relied on subparagraph 152(4)(b)(v) of the Income Tax Act, which extends the period if the reassessment is a consequence of a reduction under subsection 66(12.73).
The Tax Court of Canada held that subsection 66(12.73) requires the corporation to file a statement, and because the corporation failed to file the demanded statement, the precondition for the extended reassessment period was not met.
The appeal was allowed and the reassessment vacated as statute-barred.
