The appellant was assessed in respect of approximately $10,000 of GST which was allegedly unpaid by the corporation of which he was the sole director and shareholder. His notice of appeal alleged that this amount was remitted to the Quebec Ministry as agent for the federal Crown. Due to the Crown's failure to file its reply within the prescribed time (60 days), this allegation was presumed to be true (Tax Court of Canada Act, s. 18.3003). This presumption was not sufficiently rebutted at trial.
Noël JA granted the appellant's appeal and vacated the assessment.