Highway Sawmills Limited v. Minister of National Revenue, 66 DTC 5116, [1966] CTC 150, [1966] SCR 384 -- summary under Schedule VI

Cartwright J. found that "the phrase 'timber limits' describes a parcel of land with merchantable timber standing upon it" (p. 5120), rather than being restricted to the timber thereon. Accordingly, a sale of land by the taxpayer following the removal of the timber thereon gave rise to recapture of depreciation rather than a tax-free capital gain.