Julien Dubé-Sénécal

The appellant appealed reassessments for the 2007, 2008, 2009, and 2012 taxation years regarding the characterization of profits from the sale of shares and losses from the expiration of stock options, as well as the deductibility of interest expenses.

The Tax Court of Canada found that the appellant was engaged in an adventure or concern in the nature of trade, meaning the profit from the sale of shares and the losses from the stock options were on income account.

The Court also disallowed the interest deduction as the appellant failed to prove the borrowed funds were used to earn income from a business or property.

The appellants appealed reassessments disallowing the deduction of travel expenses and licence fees in computing the corporate appellant's business income, and including the disallowed travel expenses in the individual appellants' incomes as shareholder or employee benefits.

The Tax Court of Canada dismissed the appeals, finding that the appellants failed to adduce credible evidence to demolish the Minister's assumptions that the travel expenses were personal in nature and not incurred for business purposes, and that the licence fees were not incurred by the corporation.

The appellant appealed a section 160 assessment holding him liable for the tax debt of a corporation of which he was a 50% shareholder and director.

The corporation had paid him dividends at a time when it owed tax.

The Tax Court of Canada found that the appellant and the corporation were not dealing at arm's length in fact, as the appellant and the other shareholder acted in concert and without separate interests in deciding to declare the dividends.

The appeal was dismissed.