Exida.Com Limited Liability Company v. Canada, 2010 DTC 5101, 2010 FCA 159 -- summary under Subsection 162(7)

A non-resident corporation which failed to file corporate income tax returns but which had no income taxes payable in Canada was not subject to the penalty under s. 162(2.1) as it was not potentially subject to any penalty under s. 162(1) or (2) and therefore was not "liable to" a penalty under such provisions. However, it was subject to a penalty in the same amount under s. 162(7) given that it would not be a proper construction of the word "penalty" to find that it had been subjected to a nil penalty under s. 162(1).