Canadian Industrial Gas & Oil Ltd. v. Government of Saskatchewan et al., 80 DLR (3d) 449, [1978] 2 SCR 545 -- summary under Non-Business-Income Tax

By services, 28 November, 2015

Dickson, J. made a finding (at p. 477) in which the majority concurred (at p. 458) that a "mineral income tax" which effectively taxed 100% of the difference between the price received by oil producers at the well-head and the price they formerly received before the increase in oil prices following the 1973 energy crisis, was not an income tax:

"The tax is not levied upon net income. It is more in the nature of a gross revenue tax - as above a statutory figure it becomes a 100% levy - that has generally in the past been regarded as an indirect tax. The tax is in essence a flat sum which will vary according to the sale price of the oil but is not necessarily reflective of actual expense experience. Expenses are discretionary and not inherently deductible so as to fall within the definition of an income tax."

d7 import status
Drupal 7 entity type
Node
Drupal 7 entity ID
333970
Extra import data
{
"field_legacy_header": "<strong><em>Canadian Industrial Gas &amp; Oil Ltd. v. Government of Saskatchewan</em></strong> (1977), 80 DLR (3d) 449, [1978] 2 SCR 545",
"field_override_history": false,
"field_sid": "",
"field_topic_category": "seealso"
}