Sometimes taxpayers and their representatives have a hard time understanding the Canadian tax-dispute resolution system, like the poor accountant in Roman Miniotas (Romeo’s Plumbing & Heating) v R, 2011 TCC 43.
The accountant seemed to think that the Tax Court was just another division of the CRA. Fortunately for the taxpayer, the Court was willing to bend over backwards to construe what the accountant had sent to the Court (by way of the CRA!) as an application for extending the time within which to file an appeal. Why?
It is appropriate, in my view, for the Court to view applications to extend time compassionately. It is desirable that taxpayers have their appeals adjudicated on the merits to the extent practicable and within the legislative requirements of s. 167(5). Unfortunately, many taxpayers, and even their advisers, have difficulty in following the proper procedures to institute an appeal, even when these procedures are communicated to the taxpayer as they were in this case.
The Tax Court generally prefers substance over form in dealing with the disputes before it, and so it will sometimes give the benefit of the doubt to the taxpayer in cases like this.
