Germain v. Canada (Attorney General), 2012 DTC 5151 [at at 7370], 2012 FC 768 -- summary under Subsection 23(2)

By services, 28 November, 2015

Scott J. affirmed the Minister's decision not to remit amounts the taxpayer paid on penalties and on interest that had accumulated by the end of 2008 on her 1990 taxation year. The taxpayer's application was based chiefly on the CRA's silence on the outstanding amount between 1992 and 2009, where accumulated interest brought the amount owing from $1264.40 to $6990.22. The Minister denied the taxpayer's application on the basis that her situation did not fall within any of the categories in CRA's own remission guidelines, and "there are no other circumstances which would support remission." After reviewing the Assistant Commissioner's decision not to remit, Scott J. stated that "there is nothing to suggest that his decision was pre-determined or that the criteria found in the guidelines negated his discretion. He also stated (at paras. 56-57):

Seeing as the guidelines are used to assist officials in ensuring the transparency of the process as well as some consistency in decision-making, Assistant Commissioner McCauley could reasonably conclude that the collection of the tax and penalty was not unreasonable or unjust in this case.

In assessing the remission requests before him, the Assistant Commissioner must take into account the public interest. Remission remains an exceptional measure.

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