United Parking Services Inc. v. Regional Assessment Commis­sioner, Region No. 9 and Toronto (City), (1992) 56 O.A.C. 390 (DC)

• Judge: Montgomery, J.
• Court: Ontario Court of Justice General Division (Canada)
• Case Date: June 08, 1992
• Jurisdiction: Ontario
• Citations: (1992), 56 O.A.C. 390 (DC)

United Parking v. Assess. Commr. (1992), 56 O.A.C. 390 (DC)

MLB headnote and full text

United Parking Services Inc. (applicant) v. Regional Assessment Commissioner, Region No. 9 and the Corporation of the City of Toronto (respondents)

(221/91)

Indexed As: United Parking Services Inc. v. Regional Assessment Commis­sioner, Region No. 9 and Toronto (City)

Ontario Court of Justice

General Division

Divisional Court

Montgomery, J.

June 12, 1992.

Summary:

A car park operator applied for leave to appeal from its assessment for business tax liability.

The Ontario Divisional Court allowed the application.

Real Property Tax - Topic 1603

Persons and property liable to assessment - Business property - What constitutes - Section 13(3) of the Ontario Assessment Act provided that the assessment value of an entire parcel of real property was to be apportioned between the occupants - The board assessed a car park operator for the full value of the fee simple of the occupied surface area, including air rights and de­vel­opment potential - The operator was a licensee with the limited right to park cars on the property - The Ontario Divisional Court granted leave to appeal - The occu­pant was liable for business assessment only on the portion of the land occupied in connection with the business.

Real Property Tax - Topic 1681

Persons and property liable to assessment - Leasehold property - General - [See Real Property Tax - Topic 1603 ].

Real Property Tax - Topic 1690

Persons and property liable to assessment - Leasehold property - Air space lease - The Ontario Divisional Court stated that "... [a]ir rights are assessable. When a lessee pays a rent for those rights, he is in 'occupation' and subject to assessment under the Assessment Act, whether he is in physical possession or not" - See para­graph 12.

Real Property Tax - Topic 3576

Valuation - Business property - Rental or income value - Effect of lease - [See Real Property Tax - Topic 1603 ].

Cases Noticed:

K-Mart Canada Ltd. v. Regional As­sess­ment Commissioner No. 23 (1983), 41 O.R.(2d) 55 (C.A.), leave to appeal re­fused 51 N.R. 154 (S.C.C.), folld. [para. 9].

York County Quality Foods Ltd. v. Regional Assessment Commissioner, Region No. 15 et al. (1990), 45 O.A.C. 303 (Ont. Div. Ct.), folld. [para. 9].

Toronto Transit Commission v. Toronto (City) (1971), 18 D.L.R.(3d) 68 (S.C.C.), refd to. [para. 13].

Statutes Noticed:

Assessment Act, R.S.O. 1980, c. 31, sect. 7(1) [para. 8]; sect. 7(1)(j) [para. 16]; sect. 13(3) [paras. 8, 10]; sect. 65(1) [para. 13].

Counsel:

Richard R. Minster, for the applicant;

Chester P. Gryski, for the respondent, Regional Assessment Commissioner, Region No. 9.

This application was heard on June 8, 1992, before Montgomery, J., of the Ontario Divisional Court, who delivered the follow­ing judgment on June 12, 1992.