In Singh v R, 2019 TCC 120, the taxpayer had been assessed as a director of a corporation for its unremitted HST. The issue considered by the Court was whether, as the taxpayer claimed, he had resigned more than two years before the date of the assessment in issue (per subsection 323(5) of the Excise Tax Act).
Director liability
The taxpayer was not personally liable as a director of a corporation for unremitted HST and source deductions. She had signed the articles of the relevant corporation. But she had not signed an incorporation agreement, as required by BC law,…
Director escapes liability
Subsection 227.1(2) of the Income Tax Act (Canada) provides that a director is not personally liable for unremitted source deductions unless (a) a certificate for the amount of the corporation’s liability referred to in that subsection has been registered in…
Resigning as a director
What does it take to resign as a director of a corporation? An undated and unsigned resignation that sits in a lawyer’s file will not suffice, according to R v Chriss, 2016 FCA 236, rev’g 2014 TCC 254.