M.N.R. v. 159890 Canada Inc.
T-2473-96
Gibson J.
30/7/97
6 pp.
Application for judicial review of "jeopardy order" under Income Tax Act, s. 225.2(8)-Order issued ex parte by Rouleau J. under Act, s. 225.2(2)-Authorizing Minister of National Revenue to take certain collection actions in respect of amount assessed against taxpayer-Evidence before Rouleau J. regarding potential jeopardy to Minister's capacity to collect debt allegedly due to Crown-Unlike jeopardy order under s. 225.2(2), application for jeopardy order under s. 164(1.2) made on notice within specified time period-Taxpayer entitled to attend hearing, make representations-Minister chose to proceed ex parte under s. 225.2 rather than s. 164(1.2)-No evidence Rouleau J. aware Minister might have had option of proceeding under s. 164(1.2)-Reasonable grounds to doubt Minister met burden in application before Rouleau J. that resulted in jeopardy order under review-Minister proceeding ex parte under s. 225.2(2) must demonstrate jeopardy order necessary to protect Minister's position and no alternative procedure more fair to taxpayer than ex parte procedure reasonably available-Neither of conditions met-No evidence before Rouleau J. to demonstrate s. 129(2) insufficient authority for Minister's purposes, more open procedure under s. 164(1.2) could not reasonably have been invoked-Minister failed to establish full, frank disclosure before Rouleau J. of all information relevant to decision Rouleau J. called upon to make-That Rouleau J.'s decision might have been same if full, frank disclosure made of no consequence-Application allowed-Income Tax Act, R.S.C., 1985 (5th Supp.), c. 1, ss. 129(2), 164(1.2), 225.2(2).