The assumption by another corporation ("Polar Oils") of the obligation of the taxpayer to pay $119,658 in consideration for the taxpayer's agreement to pay four cents per litre more for diesel fuel purchased by it from Polar Oils until the total overpayments amounted to $119,658, constituted an inducement under s. 12(1)(x). The amount of the inclusion under s. 12(1)(x) was the full amount rather than the amount of additional payments made by the taxpayer to Polar Oils in the taxation year.
After noting (at p. 973) regarding the exclusion in s. 12(1)(x)(v) for an amount “otherwise included in computing the taxpayer’s income,” that he “read the word “included’ to mean ‘properly includible’,” Bowman J went on to state obiter that he thought the amount was includible under s. 9.
No relief was available under s. 13(7.4) given the absence of a timely election.