Date: 20021213
Docket: 2001-4225-IT-I,
2001-4226-IT-I
BETWEEN:
PENNY MORAN,
DOUG MORAN,
Appellants,
and
HER MAJESTY THE QUEEN,
Respondent.
Reasons for Judgment
Little, J.
A. FACTS
[1] The above appeals were heard in Regina, Saskatchewan, on common evidence.
[2] The Appellants were married in 1980.
[3] Two children were born of the marriage:
Ryan - December 1981
Kristen - February 1990
[4] The Appellant, Doug Moran, maintains that he and his wife were encountering marital problems and in an attempt to resolve these problems Doug Moran and his wife separated on a number of occasions.
[5] The Appellant, Doug Moran, maintains that in the 1997, 1998 and 1999 taxation years he and his wife lived separately and apart during the following periods:
(a) 1997 - 3½ months - March, April and May and part of June;
(b) 1998 - 3 months - February, March and April;
(c) 1999 - 3½ months - September, October and November and part of December.[1]
[6] When the Appellant filed his income tax returns for the 1997, 1998 and 1999 taxation years the Appellant did not report Penny as his spouse.
[7] In filing his income tax returns for the 1997, 1998 and 1999 taxation years the Appellant claimed child support payments on the basis that he and Penny had encountered a breakdown of the marriage in each of the 1997, 1998 and 1999 taxation years, i.e. in determining eligibility for child tax credits, the Appellant, Doug, did not combine his income with the income of Penny.
[8] The Appellant, Doug, also received G.S.T.C. payments in 1997, 1998 and 1999.
[9] The Minister reassessed the Appellant, Penny, for the 1997, 1998 and 1999 taxation years to disallow her deduction for child support expenses.
B. ISSUES
[10] The issues before the Court for Doug Moran are:
1. Whether Doug Moran is entitled to deduct the child care expenses when calculating his taxable income for the 1997, 1998 and 1999 taxation years; and
2. Whether Doug Moran is entitled to Goods and Services Tax Credits in excess of the amounts allowed by the Minister for the relevant years.
[11] The issues before the Court for Penny Moran are:
1. Whether Penny Moran is entitled to deduct the child care expenses when calculating her taxable income for the 1997, 1998 and 1999 taxation years;
2. Whether the Appellant is entitled to include an amount for equivalent-to-spouse when calculating her non-refundable tax credits for the 1998 and 1999 taxation years;
3. Whether the Appellant is entitled to child tax benefits in excess of the amounts allowed by the Minister for the relevant years; and
4. Whether the Appellant is entitled to Goods and Services Tax Credits in excess of the amounts allowed by the Minister for the relevant years.
C. ANALYSIS
[12] As noted above, the Appellants claimed that there was a marriage breakdown for three months or more in each of the 1997, 1998 and 1999 taxation years.
[13] After hearing the testimony of the Appellants I have reached the following conclusions:
(a) Throughout the 1997, 1998 and 1999 taxation years the Appellants lived together in the same residence with their two children;
(b) Each of the Appellants testified that the Appellant, Doug, lived separate and apart, on a temporary basis, for approximately three months in each of the 1994, 1995, 1996, 1997, 1998 and 1999 taxation years;
(c) The Appellants resided together with their children at the end of each of the 1997, 1998 and 1999 taxation years;
(d) Throughout the 1997, 1998 and 1999 taxation years the Appellants shared most of the financial responsibilities of the household in which they and the children resided;
(e) Throughout the 1997, 1998 and 1999 taxation years the Appellants shared the parental responsibilities for the care and upbringing of their children. The Appellants testified that they jointly accompanied their children to restaurants, church events, soccer and hockey games, etc.; and
(f) Throughout the 1997, 1998 and 1999 taxation years the Appellants shared property and resources. The Appellants testified that they owned their home as joint tenants at Coronation Park.
[14] Based on the testimony of the Appellants I have concluded that the temporary absences of the Appellant, Doug Moran, did not constitute a marriage breakdown. It therefore follows that the Minister's reassessments were issued on a proper basis.
[15] The appeals are dismissed.
Signed at Vancouver, British Columbia, this 13th day of December 2002.
|
"L.M. Little" |
J.T.C.C.
COURT FILE NO.: 2001-4225(IT)I
STYLE OF CAUSE: Penny Moran and
Her Majesty the Queen
PLACE OF HEARING: Regina, Saskatchewan
DATE OF HEARING: November 21, 2002
REASONS FOR JUDGMENT BY: The Honourable Judge L.M. Little
DATE OF JUDGMENT: December 13, 2002
APPEARANCES:
Counsel for the Appellant: The Appellant herself
Counsel for the Respondent: Anne Jinnouchi
COUNSEL OF RECORD:
For the Appellant:
Name:
Firm:
For the Respondent: Morris Rosenberg
Deputy Attorney General of Canada
Ottawa, Canada
COURT FILE NO.: 2001-4226(IT)I
STYLE OF CAUSE: Doug Moran and
Her Majesty the Queen
PLACE OF HEARING: Regina, Saskatchewan
DATE OF HEARING: November 21, 2002
REASONS FOR JUDGMENT BY: The Honourable Judge L.M. Little
DATE OF JUDGMENT: December 13, 2002
APPEARANCES:
For the Appellant: The Appellant himself
Counsel for the Respondent: Anne Jinnouchi
COUNSEL OF RECORD:
For the Appellant:
Name:
Firm:
For the Respondent: Morris Rosenberg
Deputy Attorney General of Canada
Ottawa, Canada
2001-4225(IT)I
BETWEEN:
PENNY MORAN,
Appellant,
and
HER MAJESTY THE QUEEN,
Respondent.
Appeals heard on common evidence with the appeals of Doug Moran (2001-4226(IT)I) on November 21, 2002 at Regina, Saskatchewan, by
the Honourable Judge L.M. Little
Appearances
For the Appellant: The Appellant herself
Counsel for the Respondent: Anne Jinnouchi
JUDGMENT
The appeals from the assessments made under the Income Tax Act for the 1997, 1998 and 1999 taxation years are dismissed.
Signed at Vancouver, British Columbia, this 13th day of December 2002.
|
"L.M. Little" |
J.T.C.C.
2001-4226(IT)I
BETWEEN:
DOUG MORAN,
Appellant,
and
HER MAJESTY THE QUEEN,
Respondent.
Appeals heard on common evidence with the appeals of Penny Moran (2001-4225(IT)I) on November 21, 2002 at Regina, Saskatchewan, by
the Honourable Judge L.M. Little
Appearances
For the Appellant: The Appellant himself
Counsel for the Respondent: Anne Jinnouchi
JUDGMENT
The appeals from the assessments made under the Income Tax Act for the 1997, 1998 and 1999 taxation years are dismissed.
Signed at Vancouver, British Columbia, this 13th day of December 2002.
|
"L.M. Little" |
J.T.C.C.
[1] The Appellant, Doug Moran and the Appellant, Penny Moran also stated that the Appellant, Doug Moran, had lived separately and apart from Penny Moran for approximately three months in each of the 1994, 1995, and 1996 taxation years.