Date: 20050127
Docket: A-564-04
Citation: 2005 FCA 38
CORAM: DÉCARY J.A.
NADON J.A.
SEXTON J.A.
BETWEEN:
INCO LIMITED
Appellant
and
HER MAJESTY THE QUEEN
Respondent
Heard at Vancouver, British Columbia on January 27, 2005.
Judgment delivered from the Bench at Vancouver, British Columbia on January 27, 2005.
REASONS FOR JUDGMENT OF THE COURT BY: NADON J.A.
Date: 20050127
Docket: A-564-04
Citation: 2005 FCA 38
CORAM: DÉCARY J.A.
NADON J.A.
SEXTON J.A.
BETWEEN:
INCO LIMITED
Appellant
and
HER MAJESTY THE QUEEN
Respondent
REASONS FOR JUDGMENT OF THE COURT
(Delivered from the Bench at Vancouver, British Columbia on January 27, 2005)
[1] We are all agreed that this appeal should be allowed. In our view, the issues raised in the appeal were decided by this Court in Imperial Oil v. The Queen, 2004 FCA 361, 26 October 2004.
[2] Notwithstanding Mr. Chambers' forceful arguments to the contrary, we have not been persuaded that Imperial Oil is "manifestly wrong", i.e. in the sense that a relevant statutory provision or a case that ought to have been followed was overlooked by the Court in rendering the decision (see Miller v. Canada (Attorney General) (2002) 220 D.L.R. (4th) 149 at page 154 paragraph 10).
[3] We are also of the view that there is no basis upon which the case before us can be distinguished from Imperial Oil, supra, and more so in light of paragraph 39 of the Reasons therein, where Sharlow J.A. states:
[39] As I read Gaynor, it stands for the proposition that, if a foreign currency transaction is an element of any computation required by a statutory formula, the amount of the foreign currency must be converted to Canadian dollars at the conversion rate prevailing at the time of the transaction. Thus, to apply paragraph 20(1)(f) to a debt denominated in a foreign currency, each element of the computation of the paragraph 20(1)(f) deduction must be converted to Canadian dollars at the conversion rate in effect on the relevant date.
[4] For these reasons the appeal will be allowed with costs in this Court and in the Tax Court of Canada, Bonner J.'s decision dated October 18, 2004 will be set aside and the matter will be sent back to the Minister for reassessment in accordance with these reasons.
"M. Nadon"
________________________
J.A.
FEDERAL COURT OF APPEAL
NAMES OF COUNSEL AND SOLICITORS OF RECORD
DOCKET: A-564-04
STYLE OF CAUSE: Inco Limited v. Her Majesty the Queen
PLACE OF HEARING: Vancouver, British Columbia
DATE OF HEARING: January 27, 2004
REASONS FOR JUDGMENT : (Décary, Nadon & Sexton JJ.A.)
RENDERED FROM THE BENCH BY: Nadon, J.A.
DATED: January 27, 2004
APPEARANCES:
Mr. Warren J.A. Mitchell, Q.C. FOR THE APPELLANT
Mr. Michael Colborne
Mr. L.P. Chambers, Q.C. FOR THE RESPONDENT
Ms. Rohnda Nahorniak
SOLICITORS OF RECORD:
Thorsteinssons FOR THE APPLICANT
Toronto, Ontario
Mr. John H. Sims, Q.C. FOR THE RESPONDENT
Deputy Attorney General for Canada