The appellant mining company sought to claim an investment tax credit for its 1974 taxation year under the Corporations Tax Act, 1972.
Because the credit could only be carried forward if the taxpayer had incurred a 'net loss' in previous years, the appellant attempted to amend its 1971 and 1972 tax returns to create such a loss by claiming capital cost allowance.
The federal authorities accepted the amendments, but the provincial Minister of Revenue refused.
The Supreme Court of Canada held that while the appellant met the qualifying provisions for the tax credit, the Minister was not obliged by statute or regulation to accept the amended returns, despite the federal administrative practice.
The appeal was dismissed.
