Berty v. The Queen, 2013 DTC 1171 [at at 935], 2013 TCC 202 (Informal Procedure) -- summary under Child Support Amount

By services, 28 November, 2015

The agreement between the taxpayer and his former spouse stated:

Fifty percent (50%), net of income tax, of any bonus income received by the husband shall be paid to the wife as lump sum child and spousal support (called "bonus payment"). ...

Bédard J dismissed the taxpayer's argument that the general structure of the agreement meant that the mention of "child and spousal support" implicitly meant a 50/50 split between those two categories. Pursuant to the definition of "child support", the failure to explicitly allocate the bonus payments meant that all of the bonus payments were child support - and therefore the taxpayer could not deduct the payments under s. 60.

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