The fight

BIG DOG modified

When I was home, not in Ottawa, it was a regular Friday night occurrence. The doorbell rang, the dog barked and there were two plainclothes Mounties on my porch. One had a black hard-sided briefcase in his hand. Actually it was handcuffed to his hand.

The cops visually identified me, then unlocked the cuffs and gave me the case. In it were my ministerial briefing books and hundreds of pages of letters and orders for my weekend signature. As the federal Minister of National Revenue I was not all that powerful in the grand scheme of things, but I knew the strokes of my pen could be like daggers in the lives of citizens.

So, I didn’t just sign where the deputy minister and his bureaucrats had indicated. I read them all, and the background notes. In one instance I was guided to sign an order to seize a fleet of taxicabs in Victoria because the cab company owner couldn’t pay his tax bill. “So,” I asked the deputy, “if we take the guy’s cars, how’s he supposed to pay us? Are we now in the used car business?”

So I didn’t sign. He didn’t lose his cars, and probably never knew it was about to happen.

Shortly after voters decided I should once again be a private citizen. Irvin Leroux got into a pissing match with my old department. In 1996 a CRA auditor took personal documents, which were lost, but not before Leroux (erroneously, as it turned out) was told he owed $1 million. At the time he had a renown RV park, nice house and an 11-lot subdivision worth, he told me Friday, about $4.5 million.

He went to Tax Court, and then settled the case. The million-dollar bill was turned into a credit of $24,000. But the victory was hollow. The intervening years were not kind. In pursuing the fight, he lost everything – land, assets, house, savings. The government said he would have to sue to get any restitution, which Irvin did. Six years later he received his day in court – 14 of them, actually – before a judge in his town of Prince George. And he won. Sort of.

The judge ruled that Leroux was owed a ‘duty of care; by the CRA and its careless auditors. This is a big deal. It now means anyone who has been victimized by the tax cops and collectors has the legal right to sue for damages due to negligence, because of a lack of duty of care.

Here is Leroux telling his own story.

“Financially, we’re devastated,” Irvin told me Friday when I asked what he and Jill were doing now. “I’m 70 years old now, living off a damn puny old age pension and renting in Prince George. What happened to me was an act of terror – it destroyed my life and my business. Every day I am living the lifestyle of someone who never worked hard, instead of a business guy who once had built up millions. My life has been destroyed by an abusive process, and they need to be held accountable.”

I also asked him what advice he had for anyone who feels they been unfairly targeted or penalized by Canada Revenue Agency.

“First, don’t ever let them touch your documents, or remove them. Copies only. Itemize everything. Second, cooperate and pay what you owe but if you don’t agree with an audit, then go to the team leader and ask for a review. Then hire a good lawyer, and go directly to Tax Court because if you don’t they’ll delay for years, and keep adding on penalties.”

Despite winning a landmark case that could enhance taxpayers’ rights forever, Irvin Leroux is a sad and broken man. Lonely, too. The help he received from a citizens’ rights organization has ended, and his lawyer retired.

“Nobody wants to take this revenue agency on because they don’t want this out-of-control rogue organization looking into their own closet for skeletons, and then nailing their ass. Like mine was.”

By the way, the CRA is now suing Leroux for court costs. More David vs Goliath. To fight it, Irvin has to buy a transcript of his trial. That costs $15,500, and he doesn’t have it. Or a new lawyer, for that matter.

So he’s crowd funding. If you want to help the guy a little, go here. If you’re a tax lawyer, I hear Prince George is gorgeous this time of year. And bring a slingshot.

179 comments ↓

#1 OttawaMike on 07.04.14 at 6:04 pm

Try taking on the IRA in America.

Makes our CRA look like the Girl Guides.

#2 totalinvestor.com on 07.04.14 at 6:06 pm

Don’t bother investing or buying real estate in Ontario.

http://armstrongeconomics.com/2014/07/04/sovereign-debt-crisis-alive-well-in-canada-ontario-is-one-of-the-largest-debts-in-the-world-among-sub-sovereign-governments/

#3 Christopher Mewhort, EA on 07.04.14 at 6:10 pm

Very interesting. A large part of my tax practice is representing taxpayers before the IRS. It appears CRA is not much different from the IRS. I agree with the advice to hire a gunslinger. I like the look on the weasel’s face when I show up for the examination. The examiner is expecting to browbeat a scared and flustered taxpayer who likely does not know the rules and instead I slide my POA, my license, and my ID across the desk and say “Mr. X is not here. I am his representative. Shall we begin?”

Christopher Mewhort, EA

#4 SilverMeridian on 07.04.14 at 6:17 pm

SilverMeridian Greater Ottawa surReal Estate Update

According to OREB, this June sales have gone up 4.3 percent in comparison with last year and now are at par with June 2012 numbers (1,662).

http://creastats.crea.ca/otta/images/otta_chart01_hi-res.png

They even started mentioning about current inventory in the press release now, maybe someone is reading this blog? But then again, even after starting to provide a little bit more numbers, realtors always are trying to present it like a good thing. Here is an example:

“Currently the residential and condo unit inventory on hand is just over 8,500, compared to approximately 7,500 last year,” explains Oikle. “While this moderate increase of 13 per cent in the inventory of residential and condo units has created more selection for buyers, and increased competition for sellers, this is consistent with an active spring market.”

There you go, increase in the inventory means more selection for buyers! And this is the tune they also singing on the CFRA Open House Show; credit is cheap, selection is good, don’t let your current “equity” to be “wasted”, “unlock” it by using it as down payment for another “investment” property! Now it looks exactly like US circa 2005; prices keep rising, inventory keeps building, realtors are encouraging people to “invest”, banks keep making money out of thin air by giving away fat mortgages and immediately selling them to international investors as a “mortgage backed securities”. Canada truly didn’t learn a thing on the example of our neighbour from the South.

Back to numbers now… As I have already mentioned, June 2014 residential activity is practically the same as June 2012, but inventory is almost 3000 units more.

http://creastats.crea.ca/otta/images/otta_chart03_hi-res.png

I know that the graph shows only 8500 of active listings, but the radio show realtors have specifically mentioned that we hit 10 000 active listings two week ago; so I don’t know how OREB is doing its calculations. I bet they don’t mention about that during their sales pitches to “invest” non-existent equity into ever ballooning RE gasbag!

#5 FormerSaskie on 07.04.14 at 6:20 pm

I hope the appeal kicks CRA butt and names who was negligent in the department. Come on dogs donate, we may all benefit indirectly from this action.

#6 bill on 07.04.14 at 6:32 pm

outrageous treatment.
I emailed my mp as well.
way to go CRA!
I hope the people who worked on this guys case realize what jerks they are. resign you cads!

#7 Hank on 07.04.14 at 6:33 pm

So what is this post doing on your blog?

#8 Smoking Man on 07.04.14 at 6:50 pm

Interesting, as we just celebrated Canada Day, and the Yanks 4th of July

Everyone proud to be a Canadian, or American… Idiots the above stories proves it..

Governments love to issue birth certificates, because it means, men you will never meet on your life can sell your Labour, your future Labour. The collect billions, do what they want with it. But you the tax payer are on the hook for money you never touched.

They do this by issuing a bond, guaranteeing it’s pay back, by the sweat off your back.

The selling of slaves..

That’s what bonds are.. Someone pledges your Labour, and when you mark an X on voting day.. That’s you agreeing with it. It’s a signature.

Be proud bastards, fly the flag high…

#9 Blacksheep on 07.04.14 at 6:58 pm

On this Fourth O July,

as the US of A expands its farming practices to a global scale, it seems a fitting time for some casual viewing. Young & not so foolish posed a fair question earlier on “trust” and the “System” that reminded me of this:

Here is our man Stefan, in fine form.

https://www.youtube.com/watch?v=P772Eb63qIY

Happy Friday everyone!

#10 Smartalox on 07.04.14 at 7:05 pm

Does CRA have the right to appeal a verdict in a tax court case? If so, what’s the risk to CRA or its employees? In the US, if you win in court, the government has no right to appeal the ruling.

It sounds to me as if CRA has no downside risk: backed by limitless pools of taxpayer money, they can tie actions up for years, adding insult to injury by piling on interest and penalties while a judgement is pending.

Charities gauge their efficiency by measuring the ‘cost of fundraising’.

Is there any similar mechanism, other than the care of a rational and benevolent minister of revenue that prevents CRA from squandering thousands to collect hundreds?

#11 Temporary Foreign Prime Minister on 07.04.14 at 7:07 pm

“…….As the federal Minister of National Revenue I was not all that powerful in the grand scheme of things, but I knew the strokes of my pen could be like daggers in the lives of citizens…….”
=========================

The current government seems to have mastered the whole “daggers in the lives of citizens” scheme quite well.

#12 Godth on 07.04.14 at 7:15 pm

Why try? Why bother? Just ask the First Nations. Sit back and watch it eat itself.

#13 jetfixer on 07.04.14 at 7:15 pm

Hey Garth,

For someone looking to get into the stock market and build a portfolio of ETF’s, is it better to sit on the sidelines for a bit until things correct? Or should I be looking to get in somewhere? I know its impossibly hard to time the markets, but all time high stock markets seem risky…Like 800,000$ Toronto row house risky… Thanks!

PS–Love the blog

#14 Dean on 07.04.14 at 7:20 pm

Government thugs with no oversight.

For shame and my sincere condolences to this gentleman.

Let’s hope the precedent set never allows this to happen to another honest citizen.

Begs the question, don’t these guys have bigger fish to fry and genuine criminals to pursue? What the hell?

#15 Shane on 07.04.14 at 7:20 pm

Garth, the pumper news station cbc is fabricating news again how strong the housing market is in canada.

#16 Cici on 07.04.14 at 7:29 pm

This is absolutely horrible and disgusting treatment. CRA should not have the right to sue him at this point, and he should have been compensated for all of his losses. They literally crippled him financially. Was there some kind of political motive involved in this case?

Give generously blog dawgs…this poor guy deserves a break!

#17 JO on 07.04.14 at 7:34 pm

Yet another example of an out of control government. They spend and borrow like drinken sailors and promise out of this world pensions and benefits then increase taxes constantly and send the CRA after the middle class. I have worked with a colleague who worked with the CRA for yrs and quit when he was offered a promotion. Both his parents retired after decades with the CRA. He said the staff are told to not rock the boat, take your time, and the attitude among many is that taxpayer money is theirs. He said they can fire one third of the staff and still get the work done.
I also worked with an org that services a lot of CRA staff and was told by a few current and former staff the same stories. Auditors are given a set time to audit a certain type of taxpayer. The auditors performance rating depends on how much tax s/he generates from the audits. They also have software that can spy on your accounts. Make sure you file your taxes and never engage in tax evasion. It is very important that you pay what they ask. No games. They are extremely aggressive and can be ruthless. They know most middle class people can’t afford lawyer or CA to fight back so you are at their mercy. This is how the real world works. You want big government and big spending/ debt, you will be shaken down by the gov’t. This is nothing yet folks. They are forcing everyone into direct deposit so in the future they can easily debit and take what they want without warning on the upcoming soverign debt crisis we have begun in Europe.
JO

#18 Ayn Rand Army on 07.04.14 at 7:43 pm

Well Irvine, that’s a terrible story and a fight you had no choice but to fight in and i wonder if they intentionally lost those papers to trump up the charges against you on purpose. Like someone there was out to get you or maybe a competitor had you sand bagged… and paid off the thugs at CRA to take you down….

I trust nobody anymore, everyone’s a liar until i see otherwise and never trust anyone from the government. They are indeed the enemy to anyone who works or owns property.

I think the best thing you can do now is keep telling your story and write a book or make a movie or documentary about it. And name some names of key people at CRA who handled your case and chase them down at home for interviews like Wendy Mesley does on market place.

I think we need another war soon against taxes and big gov. before it’s too late…..

Happy b day usa…. stay with us now ya hear…

#19 not 1st on 07.04.14 at 7:46 pm

It was the wrong tactic to fight this. The better strategy would be to liquidate the assets as quickly as possible and then slip over the border into Costa and let the CRA try and find you.

Can the CRA freeze my equity holdings if I get into a dispute with them? Cause I can have those suckers sold and in my hands in 3 days.

#20 Pat on 07.04.14 at 7:55 pm

There’d pin.com interesting

#21 Diggstown on 07.04.14 at 8:09 pm

Two weeks ago everyone on here was stating how much they make and we were all above the average Canadian wage. Brother in need here. Let’s see how liquid everyone is.

#22 sallysmith on 07.04.14 at 8:26 pm

I used to be a tax auditor for CRA-I will donate to his cause! I saw lots of crazy things while I worked there-let one auditor get a bee in his bonnet that someone is “guilty” and you’re toast!

#23 Smudgekin on 07.04.14 at 8:27 pm

Re: Can day. Ask Quebeckers or First Nations if they’re proud.

One year CRA went after my refund I made a $27 something error on my RSP. Took months to sort with them.

Those CRA workers who recently won the lotto a couple months back. I hope it stings them in the tail.

#24 gut check on 07.04.14 at 8:28 pm

Thanks, Mr. Turner, for bringing this opportunity to my attention.

Fighting for justice, whether on a personal or a grander scale, is exhausting. Most people do not have it in them.

I contributed to Mr. Leroux’s effort just now. I hope he will be victorious but either way he deserves our respect and support since he’s doing what so very, very few of us would have the parts to do. Without people willing to go the distance, where would we be?

#25 Dr. Wu on 07.04.14 at 8:29 pm

Sometimes the parasite kills the host>

http://en.wikipedia.org/wiki/Parasitoid

#26 Retired Boomer - WI on 07.04.14 at 8:33 pm

Sad story here. First, why would any representative from CRA ask for original documents? Copies as they can, and do get lost.

Second, why does CRA presume the client ‘guilty’, and request $1MM without an enforceable court order?

Third, as I spent a great part of my life issuing civil penalties, and a few criminal penalties similar to what CRA or IRS does…. in the U.S. a client is always entitled to his day in court before judgement. 99% of clients come in discuss findings, with or without council, and 99.7% of the time a settlement agreement is forthcoming.

Sure, you get the heard headed SOB who hires some gunslinger lawyer once in a while. It has been my experience when all the facts are known, he has a bigger legal bill, has lost credibility with the agency, their lawyers, as well as any sympathy the agent he had worked with may have held, and from my perspective, then it is time for him to pay his bill – in full.

Your column did not indicate if Mr. Leroux ‘tried’ to work with CRA? If so, where was their response?

#27 -=jwk=- on 07.04.14 at 8:35 pm

I’m in for 20 bucks, no perks. At $6850 now. Duty of Care is a big thing – it’s why auditors outside CRA can get sued when investments they vouched for go bad.

#28 Joseph R. on 07.04.14 at 8:37 pm

#8 Smoking Man on 07.04.14 at 6:50 pm

Patriotism is an arbitrary veneration of Real Estate.

#29 Mak the investor on 07.04.14 at 8:38 pm

Wish you luck with your fight with the CRA.

May the force be with you :)

#30 Playing4fun on 07.04.14 at 8:39 pm

I owned a small business for many years before selling and retiring. We had the CRA come in for two weeks one year for an audit. At the end of each day the auditors would come into my office and ask me these questions like..”You buy your staff a lot of gifts” or “You buy a lot of pizza” Each time I would just say… “yes!”. There would always be this long pause and then they would say…”Okay” The whole ordeal ended with a letter 4 weeks later of nothing amiss.
It was the most tense situation I had ever been in so I can only imagine how this saga has exacted such a high price on this poor fellow.

#31 shank1848 on 07.04.14 at 8:39 pm

Thanks Garth! I was thrilled to donate to this cause. I value all your free advice and the time you spend on your blog – certainly more valuable to me than my donation.

#32 Mixed Bag on 07.04.14 at 8:40 pm

Wow. To go after what someone has worked for all their life… I can’t find the words to express that kind of anger and frustration. I’d be less upset if I were physically beaten by the CRA, repeatedly. The gall of those soulless creatures who dare call themselves “human”.

Best of luck to you Mr. Leroux.

#33 Mixed Bag on 07.04.14 at 8:47 pm

An unexpected moral to this story:

Put your money in your mattress.

#34 Stealth Mode on 07.04.14 at 8:49 pm

Mr Leroux maybe able to get a copy of the transcript by making a Privacy Act or Access to Information Act request. Not saying any more and good luck.

#35 Inglorious Investor on 07.04.14 at 8:50 pm

First, I’d like to know how/why the CRA thought Mr. Leroux owed the money that the court ruled he did not. Was it just a small but catastrophic error-cum witchhunt, or something more complicated?

Second, I think there will be many more “Mr. Leroux’s” in the future, but hopefully the duty of care precedent will moderate that somewhat.

Third, maybe we need a little more ‘Garth Turner’ in Canadian government.

#36 NS in Calgary on 07.04.14 at 8:57 pm

I will happily donate to his cause and encourage others to do so as well. He is a courageous man and deserves our support.

I have been through audits and penalties – nothing is fair. I chose the least damaging option and moved on. I knew it would get worse and waste years of my time to fight it.

#37 Smoking Man on 07.04.14 at 8:59 pm

It’s very simple….

Get an account that is an X cra auditor. Don’t cheat.

Simple…

Small business owners are idiots, say they make 3, million, find ways, hell if it’s cash only declare 1million

I know people who have done this. So you pocket 2million

Many don’t realize they are building an asset. They look at it as cash flow..

If they declare 3million. The value of the asset could be anywhere for 2 times earnings to 10 times depending where it stands for growth…

So many stupid business owners…

#38 TH on 07.04.14 at 8:59 pm

Garth,

Thanks for posting Mr. Leroux’s story. I contributed, and emailed my local MP (Victoria BC, Official Opposition Critic of National Revenue). Hopefully it will make a difference.

#39 earthboundmisfit on 07.04.14 at 8:59 pm

I lived in P.G. for three years. It’s the a**hole of the country. Couldn’t leave soon enough.

#40 José on 07.04.14 at 9:04 pm

Sorry Garth,

Tonight’s tale was sad – but kind of boring and a bit unrelated. Let’s get back on target shall we?

#41 pinstripe on 07.04.14 at 9:05 pm

A lot of the boomer retirees from the fed civil service are exposing what is going on behind those office doors and windows. Many managers in the upper ranks know very little about what is going on around them, many of these managers are in acting positions and don’t give a hoot about anything, all of their time is pensionable time. No one is willing to make a decision. Nothing is documented. Verbal instructions are the norm.

Non performance employees cannot be fired and are protected by the system. anyone turning in a non performer is punished but the non performer continues with business as usual. Many times the non performer is promoted so as to move them to another dept.

Waste of taxpayer money is a common practice for many managers. These same managers blame the workers on the shop floor for all the waste.

The stories are endless.

The taxpayer should not ignore these type of issues exercised by government officials.

In the latest fed by-election in Alberta. Ft Mac voter turnout was 15.9%.

#42 statsfreak on 07.04.14 at 9:07 pm

Thanks for running this story, Garth.
It is important and I wish Mr. Leroux the very, very best of luck in his ongoing battle.
Happy to have donated to such a worthy cause.

#43 Freedom First on 07.04.14 at 9:14 pm

Sad tale Garth. That is where my volunteer work and my cash donations go. To kids/people who need a hand up. Volunteer work is essential for our society to operate, and so is the cash from people who are able to give. To be able to afford to give money to help the downtrodden, and yet give nothing, is just wrong. No exception. Thank God for Karma.

#44 José on 07.04.14 at 9:22 pm

I guess if the housing market is booming (apparently even in Halifax now), the stock market is looking un- investable, there’s not much else to talk about.

Hey how about the CRA.

The blog is about money. Deal with it. As for Halifax: “Sales of existing homes in the Halifax-Dartmouth area fell 16.9% last year, and the number of homes that sold in May remained 17.2% lower than a year earlier, according to the Canadian Real Estate Association. May’s sales were also 1.9% less than April’s on a seasonally-adjusted basis.” Some boom. — Garth

#45 Catalyst on 07.04.14 at 9:27 pm

You should have had a collateral charge on the taxi’s and liquidated them. If you let him not pay his bills and you do nothing, where is the incentive to ever pay again? Don’t lend more then you can get back in liquidation which is often greatly reduced during a firesale.

On the other hand, that’s probably why he went to the government and not a bank because then the deal would have needed to make sense.

Thank you for respecting the power of the office. I appreciate that you did your due diligence and hope our current leaders do the same. (hey don’t laugh!)

#46 Andrew Woburn on 07.04.14 at 9:29 pm

I sort of miss old-fashioned Conservatives. They might have been stuffed shirts and serious but they seemed to understand words like “duty”, “compassion” and “balance”.

I find it hard to imagine Joe Clark would have made Mr. Leroux sue for his rights after all he has been through. Mr. Harper apparently wants us all to fear the law. He’s obviously winning.

#47 Catalyst on 07.04.14 at 9:30 pm

Was skimming and it was his taxes that he couldn’t pay and not a loan. If he was making a profit to be taxed on, he should have had the money to pay taxes or deferring his taxes through accelerated depreciation to reduce his taxable income or just hire a better accountant.

#48 TurnerNation on 07.04.14 at 9:30 pm

This is why our crown agents have spent so much time supressing the main group who’d fight back. Indian reserves are our Gaza.
They’ve taunted us for 50 years now; “the mid-east peace process”. Right.
Same outcome.

This is why I don’t get too misty eyed and patriotic. Countries are fine ideas, a great way of segmenting the lowest level of the pyramid. Look up, way up.

Almost every man has his price. They know this to be truth.

#49 Nemesis on 07.04.14 at 9:44 pm

#FightingTheTaxMan #&OtherStrangeStories

Sometimes – it’s just not that much fun in the trenches, is it AuldPol?

Especially, when ‘TheManagement’ can be characterized in but two words.

Perfidy&Stupidity will do for now. After all, I wouldn’t want GreaterFool to lose its MPAA PG13 rating.

And now for some Zen…

#AnOldieButGoodie

http://youtu.be/gx9cMWF_ZiQ

#ThematicBonusZen #ForSaltier,KinkierDogz:

http://youtu.be/VLs09J_x6-c

[NoteToGT: Handcuffs? Seriously? Talk about your DramaQueens. LosPistoleros preferred to just throw them in the ‘boot’. Of course, dressing like TradesMen and relying upon a fleet of white Ford car-derived vans – dashboards liberally festooned with kebab wrappers and back-issues of Rupert’s Sun {all judiciously left open on Page3} – obviated the need for further subterfuge . Oh yes, one more thang… upon returning to the GreatWhiteNorth, the CRA – in their infinite wisdom – refused to recognize my residency and would not accept a filing… After about a year, they finally relented – and immediately levied a penalty for late filing. Go figure, eh? On a happier note, my RenegadeTaxAccountants subsequently treated them to a JollyeGoode FloggingRoundTheFleet. Well. There it is.]

#BonusBonusZen #ForNauticalAccountants

http://youtu.be/NCu_M36fSHA

#50 saskatoon on 07.04.14 at 9:46 pm

“Government is not reason, it is not eloquence — it is force! Like fire, it is a dangerous servant and a fearful master. Never for a moment should it be left to irresponsible action.”

#51 Piccaso on 07.04.14 at 9:48 pm

Very few people can contemplate the magnitude of $1.2 quadrillion…

And maybe only 1 in a 1,000 people knows it is

$1,200,000,000,000,000 Yep! it’s a 1,000 TRILLION.

Big Risk: $1.2 Quadrillion Derivatives Market Dwarfs World GDP

One of the biggest risks to the world’s financial health is the $1.2 quadrillion derivatives market. It’s complex, it’s unregulated, and it ought to be of concern to world leaders that its notional value is 20 times the size of the world economy. But traders rule the roost — and as much as risk managers and regulators might want to limit that risk, they lack the power or knowledge to do so. A quadrillion is a big number: 1,000 times a trillion.

The Achilles’ Heel of Global Banking:

One has to wonder what would happen if this “house of cards” based on derivatives finally collapses.

Derivatives are a kind of nuclear financial instrument.

#52 -=jwk=- on 07.04.14 at 10:03 pm

@ retired boomer. CRA (and IRS) can issue fines without a judge. As you, the taxpayer, have all the evidence, and have submitted it to the CRA you are considered to be in control. Taxpayers appealing to the Tax Court of Canada have the burden of proof that the factual findings of the CRA are wrong because they have all the evidence (their own files!). So in the cases of taxes it is up to the taxpayer to prove innocence, not up to the cra/irs to prove guilt.

#53 turning 19 soon on 07.04.14 at 10:16 pm

OK, So looking at the world around me…Its best to own nothing, work underground, collect whatever the govt will give me, get a vasectomy, and do an armed robbery when I’m 65 so I can retire in comfort.
Sweet!

#54 Joe Anderson on 07.04.14 at 10:26 pm

Obviously, the explanation this gentleman provided of his situation was abbreviated. However, it strikes me that if he won the lawsuit, CRA should be paying his legal expenses (or as happens in reality, a portion of his legal expenses). Also, I am not a tax lawyer or even an accountant, but it strikes me that if CRA adjusted his assessment from an amount owing of $1million to a credit of $24K, yet he still lost all his assets due to this matter, it should be well within the capabilities of competent professionals (tax lawyers and accountants) to tally the damages and sue CRA for restitution. Surely there must be a good law firm out there that could take on his case on a contingency basis and win. Even if it looked like they would win, CRA would likely settle out of court. I really hope such a law firm steps up to the plate and goes to bat for these good people.

#55 brokerbyday on 07.04.14 at 10:33 pm

More light has to be shed on the way the CRA conducts its affairs and treats Canadian citizens. They basically have an unlimited budget funded by Canadians and more power than the RCMP.

My experience almost bankrupted me. To make a long story short, a routine review turned into a full blown audit and tax evasion charges (not avoidance). 3 years later, over $100,000 in legal and accounting defense fees that were funded through refinancing my home the CRA dropped all charges. The agreement they came up with was they would go away if I donated $10,000 to a charity unanimously (I still have all docs to prove). they realized they were wrong but it set me back years and almost ruined my life. Yes I was innocent but coughing up $10k was a lot cheaper then the legal fees I would have to pay if I continued on.

Thanks Garth for bringing the above story to our attention. Not all cases are clear cut and some tax payers are cheating the system and deserve to be fully penalized but we need a system where the little innocent guy/gal actually has a chance to defend themselves against this agency with unlimited financial resources.

#56 Smoking Man on 07.04.14 at 10:34 pm

The meaning of life….

Take risk, make money.. Make more money.

Once you have it, it’s decision time..

Fake poverty, or go insane in your quest for domain.

Your goal after all that fun… Get the slaves to kiss your ring..

It’s Bazar but that’s the way it’s been for thousands of years.

Make it into the. 005% here is my ring, kiss it..that’s the goal.

I can never get a buzz on JD.

#57 OffshoreObserver on 07.04.14 at 10:36 pm

#14 Dean on 07.04.14 at 7:20 pm
Government thugs with no oversight.

For shame and my sincere condolences to this gentleman.

Let’s hope the precedent set never allows this to happen to another honest citizen.

Begs the question, don’t these guys have bigger fish to fry and genuine criminals to pursue? What the hell?

Where was the CRA when the Bronfmans expatriated $2billion and paid zero exit tax?

Where was the CRA when Paul Martin changed the law about tax treatment of Canadian Shipping Lines–oh, I forgot, Martin changed the law when he was Finance Minister under the Cretin regime.

(As an aside: how did Martin acquire CSL??? Oh yeah, a deal with the Desmarais clan and Power Corp.

(And: Lyin’ Brian…didn’t he preside over Iron Ore Canada…how did he get that job?)

Finally, where was CRA on Lyin’ Brian’s “grease” from cash payments associated with the Airbus Deal and Karl Heinz Schreibner?

#58 Uh Oh Canada on 07.04.14 at 10:40 pm

Ah, thanks for this article Garth. As a small business owner, I’ve already run into problems with the provincial tax dudes.

My recent cheque for HST tax return was sent in on time but they still sent me a nasty letter saying that they didn’t receive the money so I got a hefty interest AND penalty charge. After a telephone run around I discovered that they did received the original cheque. But I had already cancelled the first cheque and sent another one in. They still had enough nerve to charge me interest based on when they received the second cheque!

Also, to add insult to injury, I am waiting to see if they will waive the penalty, even though I paid on time. I empathize with Irvin. It’s a bitter battle, and it seems that we are guilty until proven innocent.

#59 Nemesis on 07.04.14 at 10:42 pm

#CrossPlatflormCompliant. #21stCenturyRemix. #”TheTaxman”. #OddlyCompelling.

http://youtu.be/Di3rY5jZINQ

#60 Tigger on 07.04.14 at 10:45 pm

I donated $10.
A reasonable way to show Garth our thanks…
Beyond having patience and securing the top finance site award what else had he asked from us?
Pretty reasonable indeed.

#61 Randol on 07.04.14 at 10:48 pm

SM

Tell that to those from the Philippines or Syria. Before you burn your country’s flag perhaps you should reflect on where you came from and where you may have ended up.

Randol

#62 Ziggy on 07.04.14 at 10:59 pm

It would be a travesty if the people responsible for making the decisions that made this guys life a living hell are still employed by the CRA. How can the public have confidence that they will act with reason and in good faith when conducting future audits and pursuing future cases? In light of the courts decision, instead of doing their utmost to rectify the situation, the CRA decides to sue the man for court costs. This is an abuse of power. Shame on the CRA! What ever happened to accountability?

Thanks for shining a spotlight on injustice. I hope this mans story goes viral.

#63 Smoking Man on 07.04.14 at 11:03 pm

#61 Randol on 07.04.14 at 10:48 pmTell that to those from the Philippines or Syria. Before you burn your country’s flag perhaps you should reflect on where you came from and where you may have ended up.

Randol
…..

I see your point ring kisser..

#64 NoName on 07.04.14 at 11:06 pm

C is for Contrafibularity

http://youtu.be/hOSYiT2iG08

#65 I'm stupid on 07.04.14 at 11:12 pm

I feel for him. CRA has harassed me off and on for the last 10 years. I took them to tax court and won but every few years I get audited and they ask me to pay huge amounts of money. I refer back to the judgment I won and they always say it’s not valid anymore. We go back and forth and I get a final tax bill for 1 or 2k. I pay because it’s less costly than having to go back to tax court.

#66 Millenial on 07.04.14 at 11:25 pm

“A CRA auditor took personal documents.” Did they take them, or were they given them? I don’t even give original copies of my tax stuff to my trusted family accountant. Can auditors get warrants to seize documents?

Moreover, why did they originally say he owed $1million dollars? I’m interested in this story, but feel like there’s a lot being left out. Garth, where can I get more info?

Anyway, sounds like this guy went through hell. Stories like this are why I don’t want to start my own business and employ people.

#67 Smartalox on 07.04.14 at 11:51 pm

#57: as I recall, the arms dealer’s cash payment to the former politician never made it to Canada. The money changed hands in NY, where it was immediately tucked away in a safe deposit box. I think that I read that the politician’s daughter then used cash from the box to pay for her ivy league education, at a well known US University.

Sure beats student loan payments!

#68 tkid on 07.05.14 at 12:07 am

$50

#69 chapter 9 on 07.05.14 at 12:39 am

It is estimated that wealthy individuals and corporations routinely avoid paying taxes with off shore accounts to the tune of $29 plus billion. The little guy like Mr. Leroux pays the burden financially and emotionally while wealthy tax evaders shift the tax load on to the average taxpayer that are not in a position of privilege or power.

#70 High Plains Drifter on 07.05.14 at 12:50 am

Reminds me of going to the southern border, wondering if the feds told the yanks about the time you skipped drama class in 68. You know they ratted you, so you tell the truth. Stick that in your pipe and smoke it.

#71 P-Gizzle on 07.05.14 at 12:51 am

Thanks for the post. I’m shocked this story didn’t get more press. It sounds like he sued for damages and lost because the judge didn’t think there was enough evidence to prove his financial ruin was the result of the CRA.

The CCF website also has a post that describes one of the CRA auditors requesting a bribe, shredding original documents and other ridiculousness.

Crazy and shameful. I could not be happier to donate to our cause!

#72 Christopher Lackey on 07.05.14 at 1:01 am

@Picasso #51. Yes, I used to worry about that too. The good old $700 trillion derivatives market. People who don’t understand what derivatives are like to talk about this amount like it is going to crater the entire world’s economy. Derivatives are not permanent in the financial sense; options, futures, and forwards expire, can and often do become worthless. Therefore people take 100% losses on these things every day, a large unknown portion of that massive number is constantly expiring and creating real losses for individuals and financial institutions; that is why they are the riskiest type of asset class. If you win and make 24x your money on a transaction, you likely took extreme risk in doing so. These activities may offend certain sensibilities, but they will not destroy the world’s economy.

And anyways, what are you worried about? It’s all a matter of perception. No matter how “strong” a bank or insurance company is purported to be, it could never physically possess all the liquid cash reserves to pay out all of the bank accounts or policies on its balance sheet. Such amounts of money don’t even exist. Does that really keep anybody up at night?

#73 Poorguy on 07.05.14 at 1:21 am

CRA just up and froze my personal bank account costing me my last paycheque. I do owe, but I’m strapped. Three kids, sole breadwinner, frugal as hell. And CRA doesn’t care. Am I supposed to declare bankruptcy over just $6000? I have no other debt.

#74 TRON on 07.05.14 at 2:02 am

From bondage to spiritual faith – we left Europe
From spiritual faith to great courage – pioneered Canada
From courage to liberty – Confederation
From liberty to abundance – railroad, lumber, mining…
From abundance to selfishness – the 80’s, 90’s
From selfishness to complacency – borrow, borrow…
From complacency to apathy – borrow more
From apathy to dependency – no savings left
From dependency back again to bondage – tax slaves

Stop borrowing, start saving, buy locally. Of course the other option is to move to Thailand where the healthcare is awesome, people are kind, climate is warm and cost of living is cheap. And the military is running the country now (in Thailand as I write this) but you’d never know it other than taking a photo with a willing soldier on post.

Of course nothing will change ’till the pain becomes to great. How do you get the 10 Canadians out of the pool? Would the 10 Canadians please get out of the pool. We’re good at following orders so we don’t upset anyone:)

#75 Ronaldo on 07.05.14 at 2:12 am

Happy to contribute $50 dollars to the cause Garth and thanks for bringing this matter up. My sister and her husband were audited a few years back due to some bad advice by their accountant. Several months of dealing with auditors, lost records as well, lots of stress and in the end lost their business, their home, and her husband passed away not long after. I believe the stress he was put through may have contributed to his early departure from this world. I have heard of many similar stories. What kind of people do they employ that are so ruthless?

#76 Pulp Faction on 07.05.14 at 2:41 am

I live in Prince George, it IS beautiful this time of year and the winter too. This man WAS utterly destroyed by heavy-handed tax cops…… and I did like Mountain Man, and bought a trailer for cheap and pay pad rent of $330 per month. Total living costs per month = < $1000. That includes food, fuel, car insurance, cell, internet, everything.

#77 Bobby on 07.05.14 at 2:58 am

I’ve had my own issues with CRA. Took a year out of my life but I won. Sad reality is that many at CRA don’t understand the income tax act yet are the ones that are supposed to administer it. I kept good notes and if I found one agents answers poor I would ask to speak to their supervisor. Oftentimes they couldn’t even agree with each other. Eventually I filed a number of formal complaints. That woke them up as it puts significant pressure on the individuals involved.
Many of the employees are very poor and hope that you don’t have the wherewithal to push back.

#78 Rob in Munich on 07.05.14 at 4:35 am

Saw this in the Globe and Mail or National post, donated 100 bucks

good luck

@jetfixer

check out either canadain couch potato or Millioniare Teacher, both wil walk you through what you need to know

#79 michael.c on 07.05.14 at 8:23 am

In 2010 I was audited in a similar way. 2 years later I had all penalties/misconduct reversed. 3 years later I made a freedom of information request. (The request came after my final appeal deadline) Finally, after almost 4 years and a day before tax court, I won a settlement and a refund. I’m still waiting on the Taxpayer Relief.

The worst part is that the Freedom of Information request was glaring. The auditor had manipulated every part of the audit. He was not only inept, he was dishonest and downright criminal. All the proof and references that I provided were ignored, but were easily accessible in my file, proving my case to anyone who looked at it. I was imposed with the harshest of penalties without knowing why.

Every level of the CRA and its appeals process, except for one appeals officer, ignored the facts that were in front of them. Every level of the appeals process is designed to impede rather than progress.

I’ve proudly framed my court decision and posted it on the wall, like its some rare game I’d hunted and tell stories about.

The CRA and its auditors needs to be held accountable for their actions. Regular tax-abiding citizens shouldn’t have to put up with what amounts to near criminal activity.

Support this man. In doing my research for court, I read about his case many times.
Hopefully it will inspire a change in the CRA and the way they hold their employees accountable.

#80 Mike in Germany on 07.05.14 at 8:43 am

Gave my $10.

#81 Jack BeNimble on 07.05.14 at 9:38 am

For those interested in the judgment, you can find it (and many other judgments) on CANLii:

https://www.canlii.org/en/bc/bcsc/doc/2014/2014bcsc720/2014bcsc720.html?searchUrlHash=AAAAAQAOUiB2IGxlcm91eCB0YXgAAAAAAQ

#82 midtown blog dawg on 07.05.14 at 9:40 am

Popped in my contribution, $75, no reward needed. Come on blog dawgs, give and give generously. We need to see more accountability from our public institutions. They are there to serve the citizenry, and even the body responsible for collecting the funds to serve us needs to adopt a similar attitude.

#83 liquidincalgary on 07.05.14 at 9:47 am

currently having my own issues with CRA. will happily donate $100.

Smoking Man: if you ever get published, put me down for a signed hard copy!

#84 Jack BeNimble on 07.05.14 at 9:50 am

Link is pretty long. Here is a bitly to the judgment.
http://bit.ly/1vJGZyO

#85 Ret on 07.05.14 at 9:55 am

The CRA will go up one side and down the other of you for a $50 input error on your tax form.

Meanwhile hundreds of landlords around every college and university in the land pocket thousands of dollars tax free from room rentals year after year.

A typical house around McMaster has seven bedrooms at $4-500 per room. Most landlords own one to three properties but some own ten or more.

The rooms are openly advertised and most students pay for those rooms with Canada Student Loan money backed by the federal government. (CRA can’t connect the dots on the money trail!) Thirteen of the twenty homes on my block are illegal rooming houses.

How about those mortgage helper basement suites in every major urban area? There is never any mention on the income property type shows about paying the CRA any tax on rents from the rental suite.

CRA – Another incompetent government agency IMHO.

#86 pgs in calgary on 07.05.14 at 10:04 am

a couple of years ago our small company filed and paid a $19,283.26 GST bill through the bank, we had paid this amount or something similar for ten years. Someone at the bank or Revenue Canada wrote the amount as $192,832.60. In their typically rude and arrogant fashion we received a demand letter for the missing funds. We filed an appeal explaining the error and spoke to GST agent who had our correct electronic filing and acknowledged their error. Unbelievably her answer was well ‘just borrow the money and pay us’ as your account is in ‘collections’ and your appeal will take several years. Our company didn’t have that capacity. Revenue Canada then took the cash funds out of our company bank accounts and then stripped additional funds from another unrelated company [I am a minority shareholder in both] effectively shutting down the former company. As the amount requested was some $180,000 they took what they could from our company, about $30,000, and then took the entire $180,000 from the unrelated company as well. We launch another appeal as they took way over what was owed. I then had to personally make the unrelated company good for the missing funds. The whole excerise probably cost us $50,000-100,000.

Much later we got a cheque from Revenue Canada for the $210,000 to our company. No explanation, no apology. We have had zero interactions with Revenue Canada before or after — this was straight incompetence at their end.

We were only fortunate that the error wasn’t $1,983,260.00 in which case we would have been just like Mr. Leroux.

#87 Mouldy Basement Dweller on 07.05.14 at 10:35 am

A copy of the last ruling can be found here:

http://www.canlii.org/en/bc/bcsc/doc/2014/2014bcsc720/2014bcsc720.html?searchUrlHash=AAAAAQAKbGVyb3V4IGNyYQAAAAAB

http://www.canlii.org is an excellent resource

#88 Crossbordershopper on 07.05.14 at 10:41 am

so simple, dont have anything in your name. They cant take it. I told a pensioner that owns a house and great investment and pension income and pays every year simply dont pay. He said they will come and get me, sure, but you will be dead and your estate liquidated before they ever get around to it. Seen it many times. Garth is right, rent, never own anything, eat and live like its your last day, otherwise you will be subservient to the man(government) for life.
Dont even live here for many months per year. The new arrivals who do all their business elsewhere and have their family on the dole in Canada have it right. I see it every single day, only old Canadians, if you know what i mean pay taxes and follow the rules. The days of kissing your mother goodbye in Dublin before you get on the boat to the new world to never return are long gone. Newbies have a quick ride to the airport and in 12 hours are in another world, their world, they dont play by our rules, i see it everyday. SO… pay your taxes suckers.

#89 jess on 07.05.14 at 10:45 am

Can a Canadian taxpayer successfully sue the Canada Revenue Agency?
http://www.mondaq.com/canada/x/314510/tax+authorities/Leroux+CRA+owes+duty+of+care+to+taxpayer

…”In several other cases before Leroux, the courts have agreed with the CRA’s position. A successful negligence action requires a finding of a duty of care to the injured party. As such, judicial acceptance of CRA’s position has presented a major barrier to bringing a civil claim against CRA.”

=================
Fiduciary Duty in Canadian Corporate Law

In Canada, directors of corporations owe a fiduciary duty. A debate exists as to the nature and extent of this duty following a controversial landmark judgment from the Supreme Court of Canada in BCE Inc. v. 1976 Debentureholders. Scholarly literature has defined this as a “tripartite fiduciary duty”, composed of (1) an overarching duty to the corporation, which contains two component duties — (2) a duty to protect shareholder interests from harm, and (3) a procedural duty of “fair treatment” for relevant stakeholder interests. This tripartite structure encapsulates the duty of directors to act in the “best interests of the corporation, viewed as a good corporate citizen”.[9]

Suggested Citation

Rojas, Claudio R., An Indeterminate Theory of Canadian Corporate Law (January 2014). University of British Columbia Law Review, Vol 47:1, 2014. Available at SSRN: http://ssrn.com/abstract=2391775

Abstract:
This chapter restates the economic theory of fiduciary law, making several fresh contributions. First, it elaborates on earlier work by clarifying the agency problem that is at the core of all fiduciary relationships. In consequence of this common economic structure, there is a common doctrinal structure that cuts across the application of fiduciary principles in different contexts. However, within this common structure, the particulars of fiduciary obligation vary in accordance with the particulars of the agency problem in the fiduciary relationship at issue. This point explains the purported elusiveness of fiduciary doctrine. It also explains why courts apply fiduciary law both categorically, such as to trustees and (legal) agents, as well as ad hoc to relationships involving a position of trust and confidence that gives rise to an agency problem.

Suggested Citation

Sitkoff, Robert H., An Economic Theory of Fiduciary Law (December 12, 2013). Philosophical Foundations of Fiduciary Law, Andrew Gold & Paul Miller eds., Oxford University Press, 2014, Forthcoming ; Harvard Public Law Working Paper No. 14-02. Available at SSRN: http://ssrn.com/abstract=2367006

#90 Ronaldo on 07.05.14 at 11:30 am

The following is the CRA “Code of Ethics and Conduct”.
Too bad they don’t play by their own rules. A bit of a joke it seems. Note the portion at top of the page where it states that some of the information is only available to their employees. LOL

http://www.cra-arc.gc.ca/crrs/wrkng/cdthcscndct-eng.html

#91 Popeye the Sailor Man on 07.05.14 at 11:42 am

I’ve been reading Greater fool for years, and this is the first time I remember Garth promote a cause and help someone raise money.

Since Garth was a federal Minister of National Revenue, I trust his judgment on this case. In a way to thank Garth indirectly and support this cause I have made a modest donation.

Everyone lets all give a little bit and get this guy to his goal before Garths next entry on Sunday.

#92 Ayn Rand Army on 07.05.14 at 11:45 am

#69 chapter 9 on 07.05.14 at 12:39 am

It is estimated that wealthy individuals and corporations routinely avoid paying taxes with off shore accounts to the tune of $29 plus billion. The little guy like Mr. Leroux pays the burden financially and emotionally while wealthy tax evaders shift the tax load on to the average taxpayer that are not in a position of privilege or power.
——
Why do you view people who do their best to get away from government tyranny and theft as criminals?

You don’t seem to understand who is evil and who is good in the world. Business men, private property and productive capital, are not evil, where do you think everything comes from, from savings!!

It’s government and their use of force who are the evil ones. Not the free market and people with money trying to keep THEIR MONEY.

I bet Mr. Leroux was very cooperative as a typical Canadian would be in the beginning with no idea how screwed up things were going to get for him due to their incompetence or some insane ideology or control power issues or whatever caused these people in government to be so dumb and evil.

I would have thought the duty of care concept was already engrained in the CRA constitution as it is for an Ontario P Eng. who must take Law and Ethics.

But being a politician is the opposite of ethics and centers around favoritism. That’s it’s essence, capture of power to run favors to political supporters and corporate interests.

Our system is broken and people need to wake up and see democracy is mobocracy. We need to get back to respecting the rights of individuals, the smallest minority, and property rights.

The income tax should and minimum wage should be abolished ASAP to encourage work and learning, on the job training.

This is primary reason why my business is leaving Canada eventually, workers are to expensive here. Also cost of living / housing here is too high and the weather sucks too.

#93 Rainclouds on 07.05.14 at 11:45 am

Dropped some ducats into the mix, Dude is up to 11G’s Sweet. I hope he beats their vindictive, incompetent asses. AGAIN!

On another Note: CTV Vancouver 6pm “NEWS” July 4 :Storyline”Van houses reach record highs”

Que the REMAX RE sales weasel standing in front of 3 houses that have “appreciated since 2010” (looks like they were subsequently renovated)

Next Que: BCREA Economist Cameron Muir patiently explaining to the unwashed why it’s different here

Finally Que: Grainy 2yr old vid of Garth actually using reason and facts …….Implied message? Garth is a joke, ain’t got a clue and has been wrong forever.

http://bc.ctvnews.ca/home-prices-break-records-in-in-metro-vancouver-fraser-valley-1.1899889

I was available for a fresh interview. — Garth

#94 LL on 07.05.14 at 11:48 am

Don’t vote anymore!

#95 David Hawke on 07.05.14 at 12:05 pm

It’s not only the CRA that acts this way, the local bylaw office, the courts or any dealings with government are rigged so the process is drawn out until the Canadian citizen is out of money and the Big Brother Nanny State wins by default.

That’s why I left Herr Harper’s pathetic country but will be voting Liberal in 2015 to protect my paltry OAS pension!

#96 Westernman on 07.05.14 at 12:23 pm

And yet Canadians keep voting for more taxes, more government, more regulations, more agencys and bureaus etc., etc., etc., …
One has to conclude that by any reasonable measure Canadians are complete and total idiots…

#97 Ronaldo on 07.05.14 at 12:26 pm

From Dec. 26, 2012 – David Dodge vs. CMHC

And the band plays on.

http://www.theglobeandmail.com/report-on-business/economy/housing/cmhc-ottawas-800-billion-housing-problem/article6732755/

#98 Andrew Woburn on 07.05.14 at 1:02 pm

If you are an investor as opposed to a speculator, you are supposed to be buying a stream of future earnings that pays back more than it costs. You therefore look for a companies with good prospects for net profits. Most people think profits = cash. Actually publicly reported net profits are the product of a set of increasingly arcane rules devised by compromise in international accounting committees and are only loosely related to immediate cash flow. This article clearly illustrates the problems that follow.

[The earnings numbers no one talks about]

“Comparing NIPA profits to GAAP profits over the years shows an interesting pattern, according to a recent paper by Emory University professor Ilia Dichev. The two measures were in “remarkable sync” between 1950 and 1980, but from 1980 onward GAAP earnings suddenly become 10 times more volatile. Since the two measures should, in theory, move together, it’s clear that something beyond economic fundamentals is at work.

One possibility is that managers are deliberately choosing to use GAAP to make their reported earnings more volatile. This isn’t as nutty as it sounds. Managers are typically rewarded with stock options and other incentives that are tied to profit gains. They can do well by making earnings as horrific as possible during a bad patch, then profiting from bonuses tied to the subsequent rebound.”

http://www.theglobeandmail.com/report-on-business/rob-commentary/rob-insight/the-earnings-numbers-no-one-talks-about/article19474020/#dashboard/follows/

#99 Smoking Man on 07.05.14 at 1:03 pm

ude.

 liquidincalgary on 07.05.14 at 9:47 amcurrently having my own issues with CRA. will happily donate $100.

Smoking Man: if you ever get published, put me down for a signed hard copy!

…….

Probably the fall, I’m self publishing, will have, hard, soft and electronic editions.

It would be out now, the start and end are spectacular.. Middle drags, slows down.

I’m a perfectionist… How and why I got this way is anyone’s guess, wasn’t like that growing up.

#100 Ayn Rand Army on 07.05.14 at 1:06 pm

Donated $50 bucks.

so Irvin Leroux won’t back down.

and Johnny Cash won’t back down either.

http://www.youtube.com/watch?v=N8i5NLyXZdc

#101 Andrew Woburn on 07.05.14 at 1:09 pm

The AI boss that deploys Hong Kong’s subway engineers

An algorithm schedules and manages the nightly engineering work on one of the world’s best subway systems – and does it more efficiently than any human could

http://www.newscientist.com/article/mg22329764.000-the-ai-boss-that-deploys-hong-kongs-subway-engineers.html?cmpid=RSS%7CNSNS%7C2012-GLOBAL%7Ctech#.U7gv7_ldWZn

#102 Retired Boomer - WI on 07.05.14 at 1:24 pm

Ok. Did my part to see that justice is completed here.

Seems like anybody over 60 had had a run in with the tax man. Mine was pleasant, and it was MY error! So, after paying the tax, penalty etc. I left a bit lighter, but it was an honest error, and I had my records to back up what i did.

These days I pay a CPA. I just provide the raw data, he spews forth the completed forms.

Even so, we had to file an amended return for 2013 as I re-characterized some ROTH IRA conversions….

gotta keep those taxes LOW!

#103 Andrew Woburn on 07.05.14 at 2:09 pm

Economists report being baffled about the fact that GDP is not moving up as fast as they expect.

I experienced a blinding flash of the obvious this week when I realized at last how the internet is flattening my personal contribution to GDP. I have recently fixed small mechanical problems with our dishwasher and car using bungee cords and bits and pieces I had lying around. The methods I used needed no research. My question concerned whether my klunky kluges risked expensive damage to other parts of the machines. Before the internet I would have no way to assess the risk and I would have turned to repair professionals. My internet research took maybe two hours and cost the Canadian GDP about $500 in foregone services.

The same is true when I use an ATM or scan my own groceries or “deliver” my own newspaper to my computer. The end result is the same but there is no paid transaction. Does this raise or lower “productivity”?

I have always thought productivity was a slippery word. For at least fifty years, I have been reading headlines about how Canada is falling behind the US in productivity and will soon be overtaken by Albania. What productivity really means is less paid labour per unit of output. One of the reasons the Fifties and Sixties were a golden age for average people is that we were horribly unproductive by current standards. A friend of mine joined CN rail in the Fifties when they had around 140,000 employees. Now they go to mostly the same places and move more freight with about 20,000 people. True, we were still competitive by the then world standards but it is not clear to me how average Canadians have gained since then while productivity soared.

#104 Rainclouds on 07.05.14 at 2:14 pm

I was available for a fresh interview. — Garth

REMAX as the main advertizer for the nightly dreck served up as “news” would allow THAT to happen………

#105 KommyKim on 07.05.14 at 2:18 pm

RE: #92 Ayn Rand Army on 07.05.14 at 11:45 am
#69 chapter 9 on 07.05.14 at 12:39 am
The little guy like Mr. Leroux pays the burden financially and emotionally while wealthy tax evaders shift the tax load on to the average taxpayer that are not in a position of privilege or power.
——
Why do you view people who do their best to get away from government tyranny and theft as criminals?

Because they are free loaders who profit from the educated work force, infrastructure, healthcare, and stable society which is bought and payed for with taxes.
Every tax loophole/break given to business results in reduced services and increased taxes on individuals.

#106 cecil on 07.05.14 at 2:22 pm

WE don’t live in a free country. ITs communism under another name.

NEVER ever would the government consider reducing taxes as part of the cure. Terrorize citizens.

I don’t love this country, and the government is not the nation.

Career goals: be a parasite. If you work more, you simply get taxed more.

#107 devore on 07.05.14 at 2:38 pm

#34 Stealth Mode

Mr Leroux maybe able to get a copy of the transcript by making a Privacy Act or Access to Information Act request.

It may fall under the rules, it may not. Either way, it will take him months to find out, and I don’t think he has the time.

#108 Ayn Rand Army on 07.05.14 at 3:22 pm

#105 KommyKim on 07.05.14 at 2:18 pm
Because they are free loaders who profit from the educated work force, infrastructure, healthcare, and stable society which is bought and payed for with taxes.
Every tax loophole/break given to business results in reduced services and increased taxes on individuals.
——–
Tax breaks to business allows them to keep more of their profits to reinvest in the business or pay out as dividends to shareholders and savers. Our taxes in Canada are repressive and the money is wasted on the real free-loaders, those who are highly paid for doing very little productive work and in many cases, as in a these CRA workers, counter productive by attacking good people and real businesses. How much did CRA spend on this case?? 10s of millions!

Anything FREE from the government is the most expensive and poor quality you can get for healthcare, roads and education. Government monopolies are not open to free market competition because they would lose! While private sector monopolies only last as long as they are the BEST.

Open up education and healthcare funding to a voucher system and private sector for profit competition and watch the public system dry up like a popcorn fart.

#109 wayne on 07.05.14 at 3:26 pm

“#103 Andrew Woburn
True, we were still competitive by the then world standards but it is not clear to me how average Canadians have gained since then while productivity soared.”

In established industries, productivity is how wealth is created. The distribution of that wealth may be less equal, but that is a separate matter. It is far better for someone out there to be getting richer than for everyone to stagnant in equal poverty. Growth begets growth.

Mitigating economic inequality is an issue that needs attention. But you are barking up the wrong tree here. You cannot more fairly distribute that which does not exist.

#110 Tony on 07.05.14 at 3:37 pm

Speaking of fights I’ve bet more than the average Canadian makes in a lifetime on Lyoto Machida tonight. Who needs a job, stocks, silver or gold when you have the knowledge I possess about the fighting game? This is called getting wealthier by betting against America.

#111 gut check on 07.05.14 at 4:07 pm

#110 Tony
Sweet spread on that, huh? It’s my very first official sports bet.

#112 Tony on 07.05.14 at 4:15 pm

Take a look at this video and guess which one will be Chris Weidman tonight. The dragon will take his head off.

http://v.youku.com/v_show/id_XNDkyMDA2MjMy.html

#113 liquidincalgary on 07.05.14 at 4:33 pm

@ #105 KommyKim, you said:

Because they are free loaders who profit from the educated work force, infrastructure, healthcare, and stable society which is bought and payed for with taxes.
Every tax loophole/break given to business results in reduced services and increased taxes on individuals.

which is why my motto is “tax consumption, not income”

go riders

#114 Retired Boomer - WI on 07.05.14 at 4:52 pm

#113 liquidincalgary

interesting. “Tax consumption not income”

Tax what ‘consumption’? all of it, or part of it? same rates?

“Income” as in ‘earned income’ or, interest, rents, dividends capital gains, passive income – at what rate? all the same?

nice thought but not well developed

That is the principle behind the GST. In theory, a much more equitable way of taxation which does not punish success. — Garth

#115 WhiteKat on 07.05.14 at 4:57 pm

@OttawaMike re: #1 (yay FIRST!)

Try taking on BOTH the IRS and CRA!

The ‘Alliance for the Defence of Canadian Sovereignty’ is raising funds for a Charter Challenge against the Canadian government for agreeing to help the IRS to shine a light on Canadians deemed ‘US persons’ according to American law.

Of course, the Canadian government will use YOUR taxpayer money to defend itself against a Constitutional Challenge, but Canadian taxpayers who are challenging the Canadian government must raise their own funds. It is going to be REALLY expensive.

Come on fellow Canadians, this issue affects ALL of us! We are going to bring this to the Supreme Court of Canada, and we are going to win!

Visit: http://adcs-adsc.ca/ to see how YOU can help keep Canada a sovereign nation, and protect the rights and freedoms of ALL Canadians!

#116 Mike T. on 07.05.14 at 5:01 pm

‘It would be a travesty if the people responsible for making the decisions that made this guys life a living hell are still employed by the CRA.’

I bet you that not only do those people still work for the CRA, they were likely promoted.

They work for the oligarchs, not you.

#117 eddy on 07.05.14 at 5:12 pm

@#115 WhiteKat on 07.05.14 at 4:57 pm
—-

Canada is not a sovereign nation, it’s a colony.
Please prove me wrong.

#118 Andrew Woburn on 07.05.14 at 5:17 pm

“#103 Andrew Woburn
In established industries, productivity is how wealth is created. The distribution of that wealth may be less equal, but that is a separate matter. It is far better for someone out there to be getting richer than for everyone to stagnant in equal poverty. Growth begets growth.
========================

Obviously and we have no choice in today’s competitive world. But if the gains just keep accruing to the 1% and the ever-bloating public sector, what’s the point for most people? Are we citizens or just cannon fodder for bureaucrats and commercial interests?

#119 eddy on 07.05.14 at 5:26 pm

Once I said to a friend: ‘Nothing could be worse than Toronto City Hall Buildings Dept.’

He replied:
“Mississauga is worse”

Expect to spend 10k more for new houses there

http://www.thestar.com/news/city_hall/2014/05/14/hike_in_development_charges_likely_in_mississauga.html

#120 Entrepreneur on 07.05.14 at 5:52 pm

Donated to a worthy cause. So many sad tales that ruin lives; I have heard so many myself. The CRA should help Small Businessess not hinder them or create an institution that does.

#121 KommyKim on 07.05.14 at 5:53 pm

RE: #108 Ayn Rand Army on 07.05.14 at 3:22 pm
Open up education and healthcare funding to a voucher system and private sector for profit competition and watch the public system dry up like a popcorn fart.

Shouldn’t that read:
Open up education and healthcare funding to a voucher system and private sector for profit competition and watch your wallet dry up like a popcorn fart.

#122 Smoking Man on 07.05.14 at 6:02 pm

#120 Entrepreneur on 07.05.14 at 5:52 pmDonated to a worthy cause. So many sad tales that ruin lives; I have heard so many myself. The CRA should help Small Businessess not hinder them or create an institution that does.
……..

Amen to that….

#123 Denise on 07.05.14 at 6:33 pm

To Stealth Mode and devore re transcripts under access to privacy. Court proceedings are recorded digitally by a recording system. When you order a transcript the order goes to a private contractor, who uses the order form to get the court registry to release the audio to them. The proceedings are painstakingly transcribed by typists in their homes, proofread, printed, bound, and sent to the ordering party. One hour of audio takes a good typist more than three hours to type and proofread. One fully day of court is usually around three to four hours of court time. So a 21 day proceeding will take around 350 hours for the worker bee transcriptionists to type. Then five copies have to be printed, bound, and distributed. That is why they cannot be accessed for free. What can be accessed for free is the audio, where one can go into the registry and sit in the registry and listen to the audio. That’s freedom of access.

There was a recent article in the Vancouver Sun about people abandoning appeals because they can’t afford the transcript fees. http://www.vancouversun.com/business/Access+justice+impeded+cost+court+transcripts+judge+says/9660813/story.html.

#124 An Importation on 07.05.14 at 6:39 pm

There is a way to keep CRA accountable to the taxpayers: a website collecting all these stories with details and contacts. This could eventually grow into a non-profit NGO who could put affected people in contact with lawyers/accountants/professionals to help. It takes a little bit of initiative…

#125 Fzzzzzz on 07.05.14 at 7:09 pm

Good piece. Relates to every person if they are concerned about finances (and real estate).

Keep up the great work!

#126 Canada Revenue Agency on 07.05.14 at 7:25 pm

Last week, we found out what annual income everyone really makes.

Today, we find those that use their money against us by funding a lawsuit against us.

Thank you for identifying yourselves.

#127 liquidincalgary on 07.05.14 at 7:57 pm

@ garth, italicized comment @114

thank you for crystallizing my thoughts

#128 Setting the Record Straight on 07.05.14 at 8:07 pm

“The ‘Alliance for the Defence of Canadian Sovereignty’ is raising funds for a Charter Challenge against the Canadian government for agreeing to help the IRS to shine a light on Canadians deemed ‘US persons’ according to American law.”

Assuming the Alliance wins it’s challenge, what happens to dividends paid to Canadians from U.S. Stocks, and U.S. etfs?

What about ADRS?

Canadian based ETFs investing in US stocks?

What would happen when you sell a ?US asset such as a stock holding?

#129 espressobob on 07.05.14 at 8:21 pm

Chipped in 100 bucks. Action speaks louder than words!

Fight the good fight. Lets end the CRA gestapo!

#130 [email protected] on 07.05.14 at 9:12 pm

Humble Tears. Thank you Mr. Turner and thank you all for your comments, donations and insights.
I received a phone call this morning from a friend of mine and he said my friend go and look at your funding campaign site the Canadian citizens are behind you all the way.
So I did. Went to bed my funding total was at $7,200. this morning it totaled $12,200.
For the first time in 18 years I had tears of happiness and not tears of sadness and depression and they are still flowing.
I am so proud to be a Canadian just to know that you my fellow Canadians will not stand by and watch the little guy get destroyed by those who have the Power,Funds and Resources to do so,
All I was asking for was to be treated fairly. I am so looking forward with your help to show this taxman, once and for all that they are accountable to the Canadian people and that they are not above the law of our land.
That they do owe the Canadian taxpayer A DUTY OF CARE and that we the people are concerned that they are able to use the total department of Justice and the big pot of taxpayers dollars to destroy you if you dare challenge their actions.
When all we have to challenge their negligence and abuse is what we have in our wallets. They know that won’t get us very far. I want to thank all you wonderful people that have joined me to say to we the people will not tolerate injustice by anyone at any level in this country. THE BULLYING STOPS HERE !!!!! I wished that I could shake everyone’s hand personally and say thank you face to face for your continued support. I know now what is truly meant when they say never under estimate the power of the people.
Actions plus words = accountability. If we don’t fight to keep this duty of care, they will challenge it and do all they can to take it away. As the judge said to one of the five Dept. of Justice lawyers in the courtroom, and I will quote this accurately when I get the court transcript: “Mr. ______ do you really think a decision in Mr. Leroux’s favour will “open the floodgates” to attack the CRA – how many people/taxpayers do you know could last as long and have fought so far as Mr. Leroux has for 18 years?”

#131 Joseph R. on 07.05.14 at 9:14 pm

“That is the principle behind the GST. In theory, a much more equitable way of taxation which does not punish success. — Garth”

Value-added taxes are regressive taxes in nature, as they remain the same, regardless of income: The higher your income become, the less percentage you pay in taxes.

How can you say its much more equitable? Rt Hon. Mulroney replaced the Manufactured Sales Tax (13.5%) with the GST. His goal of the GST was to make “people aware of how much money they give to the government”. He believed it would make the electorate more politically involved in government affairs.

#132 Drill Baby Drill on 07.05.14 at 9:14 pm

Dear Pathetic Blog : thank you for bringing this poor man’s plight to our attention. I gladly donated to his cause and will be following the outcome. What I do not understand however is the CRA lost his original documents but were able to eventually determine that the CRA actually owed him $25K ? If they did not have any backup documents why such a decision ? The CRA have been exposed here as bullies, incompetent and thieves.

#133 Nemesis on 07.05.14 at 9:28 pm

#SpeakingOfExpensiveSquabbles #SaturdayNightSchadenfreudeDeluxe #AndYouThoughtYoursWasExpensive?

[CBC] – Gregor Robertson, mayor of Vancouver, and wife to separate

http://www.cbc.ca/news/canada/british-columbia/gregor-robertson-mayor-of-vancouver-and-wife-to-separate-1.2697635

#InOtherNewsConfiscatory

[G&M] – Concerns mount over ‘cruel and unfair’ civil forfeiture process in B.C.

…”Criminal charges were never laid, but the Civil Forfeiture Office took on the case nonetheless. The office’s director last year told The Globe and Mail that 99 per cent of the people it targets settle in its favour. Mr. Murray, who has worked as a legal assistant, was in the small group prepared to go to trial. But, in May this year, the office suddenly abandoned the file. The property had already gone into foreclosure and was sold in early April. Mr. Murray said the sale price of $150,000 meant he lost between $50,000 and $75,000 on the deal.”…

http://www.theglobeandmail.com/news/british-columbia/concerns-mount-over-cruel-and-unfair-civil-forfeiture-process/article19476652/

[NoteToGT: Egads!… Perhaps Gregor will seek ‘horticultural’ refuge at HollyHock? Rumour has it, it’s immune from CivilForeiture and WarrantlessSearches: http://en.wikipedia.org/wiki/Hollyhock_Retreat#Political_links ]

#134 Skip Breakfast on 07.05.14 at 9:40 pm

I made a small donation. This is an important issue, and I believe will become increasingly important as governments find their tax revenues dwindling. They will become icnreasingly aggressive and “unfair”. We should be vigilant. Tax collection is only justifiable in a democracy when it exists FOR the people not in spite of them.

#135 Mark on 07.05.14 at 9:51 pm

“An algorithm schedules and manages the nightly engineering work on one of the world’s best subway systems – and does it more efficiently than any human could”

One of the big problems with ‘productivity’ is that only the financial (and tax-collecting) elite seem to capture any of the gains.

For instance, we have most engineers in Canada paid less than police officers and firefighters, once time in the workforce, job security, and pensions are taken into account. Quite disgusting that the engineering profession has been unable to capture the value of increasing productivity, while public “servants” laugh all the way to the bank.

#136 SHELTER THE MONEY NOT THE PEOPLE on 07.05.14 at 10:11 pm

#9 Blacksheep on 07.04.14 at 6:58 pm
https://www.youtube.com/watch?v=P772Eb63qIY

Spot on!

#137 Entrepreneur on 07.05.14 at 10:29 pm

#73 Poorguy…go to your bank manager for advice…ask him for a lawyer for consultation, if need to (free to $20).

Meanwhile, pay monthly (to keep the hounds down) until you find another way to pay the whole amount. You should have the monthly amount in your statement from the tax revenue.

If own a house you might be able to use that for a loan. (when in business put all your big assets into wife’s name to protect yourself, as I have been told). Can also close your business down, call bankruptcy (or other way around), but check with a bankruptcy lawyer first to see if necessary.

I am not a lawyer but have put my 2 cents worth in. Check first to find the best method. Write down important info. onto paper to organize thoughts. It will come to you eventually. Power to you & keep the faith that you find the answer.

#138 [email protected] on 07.05.14 at 10:46 pm

#79 michael.c on 07.05.14 at 8:23 am
Glad you made it through and have a wall to post the decision on! thanks to you and others and former CRA auditor too [#22 Sally Smith] for sharing your stories, some of which are very difficult to re-live.
Indeed I do have boxes of ATIP and Privacy Act documents I requested in 2008 – this is actually where I saw the filed Writ to Seize and Sell all my assets for the first time. An overview of my story can be found at http://theccf.ca/court-cases/irvin-leroux-v-cra/ there are media interviews posted there too.

#139 [email protected] on 07.05.14 at 10:47 pm

#123 Denise on 07.05.14 at 6:33 pm
thanks for the link to the cost of court transcripts story – this is my current battle of course and then on to get a lawyer for BC Court of Appeal.
We have added the Vancouver Sun link to our http://igg.me/at/hold-CRA-accountable/x

#140 Aggregator on 07.05.14 at 10:50 pm

#133 Nemesis

[CBC] – Gregor Robertson, mayor of Vancouver, and wife to separate

See what corrupt Chinese money does to a mayor? They treat Gregor good in China.

#141 [email protected] on 07.05.14 at 10:51 pm

#126 Canada Revenue Agency on 07.05.14 at 7:25 pm
Good one!
We refer you to Article 16 of the Taxpayers Bill of Rights http://www.cra-arc.gc.ca/E/pub/tg/rc4417/rc4417-13e.html
“………..without fear of reprisal” and the duty of care precedent will hold you to it!

#142 Waterloo Resident on 07.05.14 at 11:21 pm

I do agree with #2: Totalinvestor, that Ontario’s debt problems are really getting WAY TOO LARGE. I talked about this to my sister last Tuesday. I talked about how Ontario’s debt is now greater than California’s debt yet our population is only a fraction of the size.

I was telling her how if Ontario doesn’t reduce their rates of increase in spending then pretty soon they will be in a big amount of trouble.

If you don’t believe me how Ontario is worse than California, read this and you will see:

http://www.fraserinstitute.org/research-news/research/publications/Comparing-the-Debt-Burdens-of-Ontario-and-California/

QUOTE: “For instance, in a comparison of the outstanding gross amount of debt in the form of government-issued bonds, California (in the most recent year for which the data are available) carried US$144.8 billion, while Ontario carried CAD$267.5 billion, almost double California’s amount. This figure understates the disparity between the two regions, because California has a much larger economy and government revenues than Ontario. The gross debt in the form of bonds is 7.6% of California’s economy, while it is a whopping 40.9% of Ontario’s economy.”

As for Auditors: My lady friend is an Auditor who asks me for my advice once in a while. First of all I tell her that it is ILLEGAL to tell me any exact details of the case so she cannot talk openly about it. But after she gives me a ‘hypotetical’ example that is close, but has no exact numbers in it, I always give her the same advice. I tell her to put herself into the other guy’s shoes, to look at the situation as if she was that other person.
And if there is no documents or hard proof that he has done anything wrong, then don’t give any un-just penalties. So she goes fairly EASY on the tax offenders and while this is the right thing to do, she’s now being told that she’s not working hard enough and not penalizing enough. I tell her that what she is doing is fair and is right, and to he!! with what her managers want. Plus, she is one of the best and she can always make double or triple in the private sector doing the same work as what she makes working as a Forensic investigations auditor with the CRA, earning a measly $65,000 per year. So if he ever has enough of their [email protected], she can quite and get more money elsewhere. ( private positions with similar duties start at $150,000 and go up from there.)

The main thing I keep telling her is that people are not just numbers, they have a life and feelings, and by doing the right thing and not punishing unjustly then she won’t have a guilty conscious when she retires.

I always remind her that With great power comes great responsibility, and to never forget that fact.

#143 Sheane Wallace on 07.05.14 at 11:23 pm

Garth,

Would you please disclose the IP of #126 Canada Revenue Agency?

If by any chance that person is really from CRA I personally guarantee you that he/she would be out of a job in week. Accompanied with proper media coverage.

#144 devore on 07.05.14 at 11:31 pm

#130 [email protected]

Any interest from the media?

#145 juno on 07.06.14 at 2:39 am

What do you think? I thought it was just humor after all, all presidents are mocked and made fun of.

But anytime anyone says anything about Obama, the racist card is raised. After all this guy is a regular on saturday night live and other comical shows.

http://journalstar.com/news/local/obama-float-at-norfolk-parade-sparks-controversy/article_e0e51e5b-472a-58e6-8e5d-ff736a936e9e.html

#146 Don Derc on 07.06.14 at 8:57 am

I remember when Irvin was on a local radio show here in Vcr balling his eyes out. Man did I get angry because really, this can happen to anyone. But remember the lesson here. Irvin submitted his taxes and the CRA lost the file. Irvin did not have a second copy to re-submit and that’s where he got into trouble. Smoking man’s comments are truthful but….you need to know the rules when you play with the devil/gov’t. And the house (govt) always wins! A book called “empire of illusion” by Chris Hedges comes to mind when I read this story. Irvin’s scenario goes way beyond the subject of the CRA being bullies – the david vs goliath mantra so to speak.

I believe Cdns need to be trained on how to look at issues that affect them, they need to be trained on financial intelligence, they need to be trained on how to hold politicians accountable for their actions, they need to be trained on how to vote! Case in point – we should have been talking about oil pipelines 30 years ago not now. We are not engaged, we are distracted. The HST recall here in BC , a few years back, was not the BC voter standing up and saying “I’m madder than hell and I’m not going to take it anymore”. It was the BC voter saying “we let the BC gov’t rack up the bill under our voter noses, and we’ll pass that bill onto the next generation”. I would run on the platform, as a politician, that I would crank up your taxes to pay down the debt. Of course I wouldn’t get elected.

Here’s the saying – “if your vote mattered, they wouldn’t let you have it”. An interesting comment but not true. Our votes do not matter, but it’s the cdn citizen that has cheapened the value of it, rendering it useless.

I don’t think BC voters, when they went to the polls, voted for a teacher’s strike this year, or a $90 billion provincial debt, and so on. When you are comatose at the voting booth, then the vote is worthless.

I have deep respect for Irvin….mainly because he kept his guns in the closet and fought for “his day in court” instead. I wouldn’t have the patience.

What a rant!!

#147 Retired Boomer - WI on 07.06.14 at 9:32 am

The GST appears to me to be nothing more than another “sales tax” applied to final consumer decision to purchase.

Despite what the ‘intent’ might have been. it IS punishing success to the extent that in increases the final cost of a purchase. Do the apply GST to home purchases? If not, why not? To an investment purchase? to insurance?

The question was whether consumption taxes are more economically efficient than income tax. The answer is, of course. But the application of a consumption tax should be accompanied by a reduction in taxes on income. — Garth

#148 Financial Freedom at 40 on 07.06.14 at 9:53 am

Raised Irvin over $14K, just $1.5K to go. Happy to contribute to fighting the good fight. Justice should not just be available to those with financial means.

#149 Macrath on 07.06.14 at 10:17 am

18 years fighting the CRA incredible ! I can`t handle 5 minutes on the phone with them without the onset of serious depression.. don`t ever mention Quebec to them unless you want some serious verbal abuse. Apparently, they don`t communicate with Quebec it`s another country.

The government ,banks and insurance companies are in the business of putting little people out of business.

#150 NoName on 07.06.14 at 10:58 am

“Some 58% of the new jobs created in 2014 pay above the average hourly wage of $24.45.” good, but not as good temp jobs in Canada…(insert sarcasm)

http://goo.gl/D1aVcA

#151 Panhead on 07.06.14 at 11:54 am

#140 Aggregator on 07.05.14 at 10:50 pm
#133 Nemesis

[CBC] – Gregor Robertson, mayor of Vancouver, and wife to separate

—————————————————————-

She just can’t stand him either …

#152 TurnerNation on 07.06.14 at 12:29 pm

Still awaiting the Great Reset.

– Stocks will go to zero
– Bonds will go to zero
– Fiat Currencies will go to zero.

We will conduct trade with crypto currencies and shavings from gold bars, using a handy gold bar shaving tool clipped onto our belts.
I might just have new line for sale, only $19.95 or $30 for two – plus S&H and HST. Offer not available in Quebec.

This message is brought to you and approved by
Sheane/Shawn/shane.

#153 Tony on 07.06.14 at 12:46 pm

Re: #126 Canada Revenue Agency on 07.05.14 at 7:25 pm

Remember the indirect lawsuits such as the people that hire a lawyer to obtain the disability tax credit wrongfully denied by the CRA in the first place.

#154 TurnerNation on 07.06.14 at 12:51 pm

I donated enough for a couple of pints.

Got weekly email from the ‘dreaded’ HoweStreet.com Weekly Recap

http://www.rosskay.com/national-analytics.html

#155 KommyKim on 07.06.14 at 12:55 pm

RE: #143 Sheane Wallace on 07.05.14 at 11:23 pm
Would you please disclose the IP of #126 Canada Revenue Agency?

And what good would that do? In Canada, the ISP of the user will not release the personal information of a user without a court order. Or do you work for one of those agencies that does this kind of stuff without accountability or a warrant?

#156 brainsail on 07.06.14 at 12:59 pm

Not about CRA … but about Canada Student Loans

Years and years ago I found myself unemployed and working part time jobs to survive. I couldn’t make any student loan payments.

Finally, about a year and a half later, I got a full time in my profession. A couple of days after I got my first pay check, I received a call from the government asking when I was going to start making payments again. I quietly and politely ask if it was possible for me delay for a couple months because I had a lot of catching up to do.

He screamed “No, you have to start paying now!” and slammed the phone down. Ten minutes later I found myself walking to my car with my belongings because my employer felt it was unprofessional of me to refuse to pay back the loan. I should have sued both of them.

#157 Andrew Woburn on 07.06.14 at 1:13 pm

[CBC] – Gregor Robertson, mayor of Vancouver, and wife to separate

I guess it wasn’t a “bicycle built for two”.

[For younger readers, that was the title of one of the top pop songs of the 1890’s]

#158 retired Boomer - WI on 07.06.14 at 1:48 pm

Garth-

There is little doubt that ‘consumption taxes’ are more economically eficient than ‘income taxes.’

The problem stems that what people ‘want’ their respective levels of government to provide, they are not willing to pay for. That’s why we have regressive sales taxes that impact the poor more than the rich, why we have progressive income taxes to unfairly screw the rich
(I believe they should be much more progressive than at present), and payroll taxes that pretty much screw everybody.

Nowhere have I seen discussed a better-fairer tax system
that replaces all the revenue currently raised.

At least in the US’s case revenue raised in adequate to cover spending that is why we have, and ARE the world’s biggest debtor nation. Will we pay it down? To be determined. We are making smaller deficits but thus far no reduction in total debt an a huge torrent of aging workers about to hit the benefit line. Do you see this going well for either the United Snakes, or Canaduh?

I do not, I see benefit freezes, reduced Federal spending, perhaps higher taxes, that is assuming the economy remains relatively good as it currently appears. Should it slip backwards the deficits will undoubtedly rise. Presently American Geezers have an adequate social insurance system, not overly great but adequate. I don’t know enough of our Canadian neighbor’s system to comment, but appears adequate as well.

Still having high 6 or 7 figures with no encumbrances will make retirement a bit more interesting with all the choices available. You don’t get to ‘buy’ more time though.

#159 World Traveller on 07.06.14 at 2:17 pm

#156 brainsail on 07.06.14 at 12:59 pm

The governments handling of students trying to pay loans back is nothing short of criminal.

#160 wayne on 07.06.14 at 2:19 pm

#110 Tony on 07.05.14 at 3:37 pm
Speaking of fights I’ve bet more than the average Canadian makes in a lifetime on Lyoto Machida tonight. Who needs a job, stocks, silver or gold when you have the knowledge I possess about the fighting game? This is called getting wealthier by betting against America.

:(. Sucks 2BU.

#161 Daisy Mae on 07.06.14 at 2:41 pm

#147 Retired: GARTH: “The question was whether consumption taxes are more economically efficient than income tax. The answer is, of course. But the application of a consumption tax should be accompanied by a reduction in taxes on income.”

****************

Exactly. The GST was not supposed to cost the consumer a dime. It was, in fact, costing consumers hundreds of dollars per year in additional taxes. It was a lie. And that’s why it failed.

#162 Daisy Mae on 07.06.14 at 2:44 pm

Further to last….

The provincial government called the GST ‘revenue neutral’. This was not the case.

Is it small wonder we don’t trust any level of government?

#163 Flawed on 07.06.14 at 3:01 pm

#126 Canada Revenue Agency on 07.05.14 at 7:25 pm
Last week, we found out what annual income everyone really makes.

Today, we find those that use their money against us by funding a lawsuit against us.

Thank you for identifying yourselves.

*********************

Communism always fails. It’s just a matter of time. Pretty soon tens of thousands of greedy govt workers will be UN-employed and I won’t feel sorry for them.

#164 Mister Obvious on 07.06.14 at 3:32 pm

#162 – #162 Daisy Mae

I’m not sure which provincial government called the GST ‘revenue neutral’ and where the GST failed. As far as I know the GST is still with us and is just as ‘non revenue neutral’ as it ever was.

The HST (Harmonized Sales Tax) is what failed miserably in British Columbia. It was purported to be ‘revenue neutral’ by Gordon Campbell (who himself failed miserably) and his liberals government. (For you easterners: Liberal = Conservative in this province)

The idea was that 7% PST and the 5% GST would combine into a single 12% HST thus simplifying the tax system and changing nothing else.

They failed to mention that a whole host of items that were formerly exempt from the PST would now be subject to tax under the HST system.

The people of BC couldn’t let that stand and they used their legislative recall option to kill the HST. We owe it all the former premiere Bill Vanderzalm who came out of retirement to spearhead the whole initiative then faded back into well deserved obscurity.

#165 Tony on 07.06.14 at 3:33 pm

Re: #160 wayne on 07.06.14 at 2:19 pm

They killed me on the Mayweather, Alvarez fight and somehow Machida lost. I would still have bet both fights the same. On paper Machida should have destroyed Weidman in the first round.

#166 Shawn on 07.06.14 at 4:02 pm

Flawed Thinking?

Pretty soon tens of thousands of greedy govt workers will be UN-employed and I won’t feel sorry for them. (Flawed at 163)

******************************************
More likely pretty soon thousands of greedy (i.e. they are just like everyone else) govt workers will be RETIRED on their agreed upon pensions to which they usually contributed substantially and often equally with the employer and often at rates of around 15% to 20% of gross wages in the past few years.

More likely than “feel sorry for” many will continue to feel jealous of.

#167 T.O. Bubble Boy on 07.06.14 at 4:54 pm

@ #119 eddy on 07.05.14 at 5:26 pm
Once I said to a friend: ‘Nothing could be worse than Toronto City Hall Buildings Dept.’

He replied:
“Mississauga is worse”

Expect to spend 10k more for new houses there
—————————————-

yikes… that’s what happens when you build 100% pure sprawl and call it a city of 1M people!

#168 Dr. Wu on 07.06.14 at 4:57 pm

Consumption taxes, after payroll deduction, is double dipping. Fluoridated tap water reduces testosterone levels (I made that up, just like CBC) that’s why 416 rolled over and said ‘tax me more’
BC doesn’t fluoridate, they still have balls.

When they brought in HST all the trades who were charging 5% had to start charging 13%,…overnight.

#169 Herb on 07.06.14 at 7:19 pm

Sorry I’m late to the party, but I have gained some experience of CRA in two three-year battles I have fought and won. Believe all the bad things that have been said about CRA here. It is a soul-less machine operated by staff who are as inefficient and/or incompetent as staff anywhere else in the private or public sector. Except that their inefficiency/incompetence has no consequences for them, only their victims.

My first war was fought in the mid-90’s and involved tardiness on my part in submitting a return on which I owed no money, submitted with a subsequent return to which I had attached a cheque for the balance owing. They questioned a deduction for maintenance I had claimed for 15 years but could not prove immediately because payments had been made through NDHQ. It took some months to get the letter proving my innocence, but CRA (or Canada Revenue [Taxation], as it then was) marched on regardless. Before I knew it, they claimed that I had never submitted the return whose cheque for the balance owing they had cashed (!), and they denied my deduction for maintenance. So the Revenooers assessed me and told me I owed them $75 K with penalties and interest. That amount was recovered from a bank account I had built up to pay off our mortgage, and I was none the wiser until I went to the bank the day after returning to Canada from overseas employment to discover that I was poor. Personal visits and voluminous correspondence proved of no avail, until I told my lawyer to take the detailed “Operations Log” I had been keeping and send it to the Minister of National Revenue. Jane Stewart, bless her pantyhose, saw to it that my money, with interest, was returned within six weeks, 2½ years after it had been seized. The lesson here is that it is – or should be – impossible, for a governmental organization to be confronted with evidence of its own inefficiency, and simply carry on regardless until the top dog gets involved by way of Ministerial Inquiry and directs the obvious. I would hope that the senior editors who reviewed and signed off on my file would have been fired, but doubt it.

The second war happened in the mid 2000’s. CRA disallowed a claim for current versus capital expenses on rental property, and we were off to the races again. I had the documentation to prove the expenses, and referred them of the case law establishing that they were valid current expenses. However, the CRA auditor decided that they were capital expenses without, as was eventually admitted, considering any case law. We then embarked on the minuet of review and appeal, and danced all the way to the Tax Court of Canada, at which point, one week before our hearing date, the Tax Litigation Section of invited me to a meeting and opened the discussion with “We don’t want to go to Court.” I was a swine: I settled for more than a Justice of the Tax Court, strictly applying the Income Tax Act, would have given me, because someone in Justice did not want this case reported as a precedent, and I wanted to spare my damaged ticker a week of preparation for and the actual TCC hearing.

The lessons here: 1.) Be sure you have a solid case. Wanting to pay less is not good enough. Once you start reading cases, you’ll be amazed at the garbage justices of the Tax Court have to put up with. They do earn their pay. 2.) Have your act together. If you do not have the receipts and documentation to support your case, forget it. 3.) Do your own legal legwork: other blog dogs have already linked to http://www.canlii.org – it gives you access to statue and case law, and is priceless. You can determine what your chances are, and whether your case is worth a good tax lawyer at $450 an hour. 3.) Be relentless. CRA and the Tax Litigation Section will be. Go through every step, and force them to go with you. Don’t settle for non-answers. Keep pushing, and other parts of the “machine” may reveal information that some parts may not be happy about. Use the Taxpayers’ Ombudsman, who has no power to act but can pry loose information. 4.) Use the published administrative policy of CRA against CRA. Interpretative Bulletins etc. may be policy, yet disregard by minions. 5.) Document everything. 6.) Finally, be prepared to go to the Tax Court of Canada, which is bound only by the Income Tax Act and the fact and logic you and CRA will present.

CRA can be beaten. Go for it!

Irvin, stick to your guns, and good look to you and all of us. CRA is a political problem. We need a government that will humanize and control the beast and make it accountable. Until then, all we can do is fight it individually and not let it get away with financial murder.

#170 Daisy Mae on 07.06.14 at 7:24 pm

#164Mr Obvious: ‘The HST (Harmonized Sales Tax) is what failed miserably in British Columbia. It was purported to be ‘revenue neutral’ by Gordon Campbell (who himself failed miserably) and his liberals government. (For you easterners: Liberal = Conservative in this province)”

******************

You’re correct. It was the HST that failed in BC. Business was ‘encouraged’ to pass along savings. However, they weren’t required by law….so they didn’t. Of course. They shot themselves in the foot. And the HST failed.

We still have the GST and the PST — separate taxes.

#171 KommyKim on 07.06.14 at 8:19 pm

RE: #156 brainsail on 07.06.14 at 12:59 pm
He screamed “No, you have to start paying now!” and slammed the phone down. Ten minutes later I found myself walking to my car with my belongings because my employer felt it was unprofessional of me to refuse to pay back the loan. I should have sued both of them.

No, you should have made the payments on your student loan.

#172 raider on 07.06.14 at 8:44 pm

“I also asked him what advice he had for anyone who feels they been unfairly targeted or penalized by Canada Revenue Agency.”

Well, the sort of ‘Garth’ for that particular problem:
http://alexdoulis.com/

Maybe they should pair up :)

#173 brainsal on 07.06.14 at 8:47 pm

#171 KommyKim on 07.06.14 at 8:19 pm

I hope that you never have to experience the hell that I went through!

#174 Mike T. on 07.06.14 at 11:23 pm

$14,707

that is the current total for ‘The Fight”.

Looking good everyone, looking good.

#175 Dupcheck on 07.07.14 at 11:53 am

CRA was at fault and is still fighting? For what… to show what bullies with unlimited power and resources they are? What a shame. Screw you CRA.

Is this what we tax payers have created and support?
A bully of an organization?

Shame… shame… shame on CRA. I have lost respect for them.

They should publicly apologise for their wrong doing and fire the responsible auditors for creating such mess. And pay of the damages they created.

#176 Martha Pearce-Smith on 07.07.14 at 3:20 pm

Wait a minute…the CRA lost and they want court costs?

Really?

#177 Irvin Leroux on 07.07.14 at 10:05 pm

THANK YOU EVERYONE for your donations, sharing and comments – reached our goal and transcript is on order! Total $15,657 now we need a lawyer to take us into court, defend the Duty of Care for all of us and hold CRA accountable.
#18 Ayn Rand Army on 07.04.14 at 7:43 pm thanks for your comments on the page and yes! the more blogging the better – look what Mr. Turner has done for our cause with this – incredible.

#178 Irvin Leroux on 07.07.14 at 10:17 pm

Someone asked about media – originally we talked to Go Public in 2009 on CBChttp://www.cbc.ca/news/canada/british-columbia/revenue-canada-refuses-to-pay-for-million-dollar-mistake-1.788221 the National picked it up and The Current
#169 Herb on 07.06.14 at 7:19 pm
recalls this; please keep sharing the story and the campaign site as we need more funds for a lawyer – contingency, reduced rate, whatever we can get – http://igg.me/at/hold-CRA-accountable/x The Duty of Care decision didn’t gain as much traction in media as it should and as we thought it would. But it is BIG DEAL for all of us taxpayers. Already making a difference in the submissions of tax litigators saving clients from bankruptcy! We also were on Global 16×9 that year – W5 has done several good pieces but not this one. 18 years and going – we are NOT stopping now and the unlimited power and resources of this agency will be held accountable.

#179 Irvin Leroux on 07.07.14 at 10:33 pm

BTW here is my thanks and update posted yesterday http://www.youtube.com/watch?v=6WEgPiN9nvY
and for the HST discussion, a friend did up a catchy little bit at the time…. http://www.youtube.com/watch?v=atiLnxSKmec&index=9&list=LLhFRcJo4hl-KEpJ5pvmAuaA there are some others alongside that on http://www.youtube.com/user/LerouxedIrvin/playlists Wonder how many CRA employees watched these…