Drumheller v. MNR, 59 DTC 1177, [1959] CTC 275 (Ex Ct) -- summary under Business

By services, 28 November, 2015

The taxpayer, who orally agreed with his brother-in-law to jointly seek a franchise to supply a town with natural gas, received $10,000 in lieu of his rights in respect of the franchise which ultimately was obtained, having advised his brother-in-law that he would be required to devote most of his time to a well-servicing company, rather than to serving in a position with the gas company that was to supply the town under the franchise.

The project was "an undertaking of any kind" and the $10,000 receipt was income from a business, rather than a capital receipt. Thurlow J. stated (at p. 1180, DTC):

"the expression an undertaking of any kind appears to me to be wide enough by itself to embrace any undertaking of the kinds already mentioned in the definition; that is to say, trades, manufactures, professions, or callings, and any other conceivable kinds of enterprise as well."

Topics and taglines
Tagline
lump sum received in lieu of franchise rights was from an undertaking
Words and phrases
d7 import status
Drupal 7 entity type
Node
Drupal 7 entity ID
337101
Extra import data
{
"field_legacy_header": "<strong><em><a name=\"Drumheller\"></a>Drumheller v. MNR</em></strong>, 59 DTC 1177, [1959] CTC 275 (Ex Ct)",
"field_override_history": false,
"field_sid": "",
"field_topic_category": ""
}