Sunbeam Corp. (Canada) Ltd. v. Minister of National Revenue (Customs and Excise), (1993) 71 F.T.R. 199 (TD)

• Judge: MacKay, J.
• Court: Federal Court (Canada)
• Case Date: April 20, 1993
• Jurisdiction: Canada (Federal)
• Citations: (1993), 71 F.T.R. 199 (TD)

Sunbeam Corp. Ltd. v. MNR (1993), 71 F.T.R. 199 (TD)

MLB headnote and full text

Sunbeam Corporation (Canada) Limited (plaintiff) v. Her Majesty the Queen (defendant)

(T-1010-89)

Indexed As: Sunbeam Corp. (Canada) Ltd. v. Minister of National Revenue (Customs and Excise)

Federal Court of Canada

Trial Division

MacKay, J.

December 2, 1993.

Summary:

A taxpayer sued to recover alleged overpayments of federal sales taxes.

The Federal Court of Canada, Trial Division, dismissed the action.

Sales and Service Taxes - Topic 204

Sales tax - Assessments - Method of calculation - A taxpayer claimed against the Minister of National Revenue for alleged overpayments of federal sales taxes - The taxpayer manufactured small household appliances - The taxpayer calculated its federal sales tax based on the sale price of its goods - Other companies in the same industry were permitted to calculate their federal sales tax using the determined value method - The taxpayer was not informed of the alternative method for calculating its sales tax - The taxpayer claimed that it should be entitled to a refund for those years it could have paid under the determined value method - The Federal Court of Canada, Trial Division, dismissed the taxpayer's action.

Cases Noticed:

Minister of National Revenue v. Minden (1962), 62 D.T.C. 1044 (Ex. Ct.), dist. [para. 19].

Granger v. Canada Employment and Immigration Commission, [1986] 3 F.C. 70; 69 N.R. 212 (F.C.A.), appeal dismissed [1989] 1 S.C.R. 141; 91 N.R. 63, refd to. [para. 19].

Lavigne Estate v. Minister of National Revenue (1989), 90 D.T.C. 1229 (T.C.C.), refd to. [para. 19].

Stickel v. Minister of National Revenue (1972), 72 D.T.C. 6178 (F.C.T.D.), refd to. [para. 19].

Jack Herdman Ltd. v. Minister of National Revenue (1983), 48 N.R. 144; 83 D.T.C. 5274 (F.C.A.), refd to. [para. 19].

Herdman (Jack) Ltd. - see Jack Herdman Ltd.

Ford Motor Company of Canada Ltd. v. Minister of National Revenue (1991), 4 T.C.T. 6156 (F.C.T.D.), refd to. [para. 23].

Becker v. Pettkus, [1980] 2 S.C.R. 834; 34 N.R. 384; 19 R.F.L.(2d) 165; 117 D.L.R.(3d) 257; 8 E.T.R. 143, refd to. [para. 26].

Air Canada and Pacific Western Airlines Ltd. v. British Columbia, [1989] 1 S.C.R. 1161; 95 N.R. 1; 59 D.L.R.(4th) 161, refd to. [para. 27].

Consumers Glass Co. v. Canada, [1989] 1 F.C. 120; 21 F.T.R. 131; [1989] 2 C.T.C. 141 (T.D.), revd. (1990), 3 T.C.T. 5112; 107 N.R. 156 (F.C.A.), refd to. [para. 28].

R. v. Board of Inland Revenue (Ex parte MFK Underwriting Agencies Ltd.), [1990] 1 All E.R. 91 (Q.B.), refd to. [para. 34].

Inland Revenue Commissioners v. National Federation of Self-Employed and Small Businesses Ltd., [1982] A.C. 617; [1981] 2 All E.R. 93 (H.L.), refd to. [para. 34].

Reference Re Canada Assistance Plan (B.C.), [1991] 2 S.C.R. 525; 127 N.R. 161; 1 B.C.A.C. 241; 1 W.A.C. 241, refd to. [para. 35].

Cook (Allan G.) Ltd. v. Minister of National Revenue (1989), 2 T.C.T. 1167 (C.I.T.T.), dist. [para. 44].

Statutes Noticed:

Excise Tax Act, R.S.C. 1970, c. E-13, sect. 27 [para. 4]; sect. 44(1)(a), sect. 44(1)(c), sect. 44(6) [para. 43].

Excise Tax Act, R.S.C. 1985, c. E-15, sect. 50 [para. 4]; sect. 68 [para. 43].

Excise Tax Act Amendment Act, S.C. 1986, c. 9, sect. 23(3), sect. 23(5) [para. 43].

Federal Court Rules, rule 482 [para. 12].

Authors and Works Noticed:

Hinds, William, Estopping the Taxman (1991), generally [para. 34].

Counsel:

T. Sweeney and C. Webster, for the plaintiff;

M. Thomas and D. Clarke, for the defendant.

Solicitors of Record:

Borden & Elliot, Toronto, Ontario, for the plaintiff;

John C. Tait, Q.C., Deputy Attorney General of Canada, Ottawa, Ontario, for the defendant.

This application was heard in Toronto, Ontario, on April 20, 1993, by MacKay, J., of the Federal Court of Canada, Trial Division, who delivered the following judgment on December 2, 1993, in Ottawa, Ontario.