These joined GST appeals arose from unremitted net tax in a Quebec real estate corporation and a derivative assessment against an alleged director under section 323 of the Excise Tax Act.
The court held that counsel had effectively renounced any challenge to the corporation's assessments, including penalties, subject only to a limitations argument on one reporting period.
That limitations argument failed because the relevant return was filed late, extending the four-year assessment period.
On the director-liability appeal, the court held that the appellant failed to rebut the presumption that she was a de jure director and also failed to establish the subsection 323(3) due diligence defence, given her sustained passivity and decision not to inform herself.
The argument that the Crown had to exhaust collection remedies against corporate immovables or rely on the deemed trust before assessing the director was also rejected.
