In response to a submission of the taxpayer that the taxpayer's payroll service provider ("Paie Maître"), and not the taxpayer itself, was liable for failure to remit source deductions, Paris J. stated (at para. 18) that "the relevant case law of the Federal Court of Appeal shows that a person is only liable under that subsection [s.153(1)] if it had decision-making powers over the payments to employees" and went on to find that here, Paie Maître was at all times subject to the instructions of the taxpayer and an affiliated company. He stated (at para. 40):
"It does not matter whether the contractual relationship between the Appellant and Paie Maître was a mandate or a trust, what matters is the control of the Appellant maintained over the funds that were in the hands of Paie Maître."
The taxpayer was found to have paid wages to its employees within the meaning of s. 153(1), with the result that it was liable under s. 227(9.4) to pay the amounts withheld from the wages but not remitted to the Receiver General.