King, D.T.C.C.J.:—This appeal was heard in conjunction with the Michael Gondosch appeal.
For the reasons as set out in the Michael Gondosch appeal, I dismiss this appeal with respect to the 1984 reassessment relating to the shareholder's loan in the amount of $26,239.29.
With respect to the standby charges on the reassessment for the years 1984 and 1985, I am not satisfied they are reasonable. The evidence was clear that no logs were kept of the personal miles the B.M.W. automobile was used by the appellant. I agree, it looks somewhat strange that an expensive automobile would be leased for the main purpose of delivering pizzas and as a general purpose vehicle.
I am however satisfied that in the years in question the appellant was working very long hours and not a great deal of personal use was made of the vehicle. The appellant did however use the vehicle for getting to and from his home to his place of business.
I realize the figure I use will of necessity be arbitrary. I have come to the conclusion on the whole of the evidence a reasonable figure for each of the taxation years in question would be 85 per cent for business use and 15 per cent for personal use.
I therefore grant the appeal for each of the taxation years 1984 and 1985 with respect to standby charges and order that this matter be returned to the Minister for reconsideration and reassessment.
There will be no costs.
Appeal allowed.