Have Questions About the Tax Court of Canada?
The Final Step for Disputing a Decision Made by the Canada Revenue Agency
You have the right to every benefit the law permits.
If you disagree with the Canada Revenue Agency’s (CRA) decision resulting from an objection, you can appeal the assessment or determination to the Tax Court of Canada (TCC).
Typically a taxpayer must file their Notice of Appeal within 90 days from the date the decision was finalized by the CRA. This decision is usually in the form of a Notice of Confirmation or Notice of Reassessment.
You may also submit an application for an extension of time to file your appeal. In most cases, the time to submit such an application is one year after the 90 day time limit has lapsed.
To obtain an extension, the following must be proven:
- That within the appeal period:
- You could not appeal or have someone else appeal for your; or
- You intended to appeal;
- That it would be fair to grant your application;
- That you applied as soon as you could; and
- That you have reasonable grounds for appealing.
The TCC is an independent court of law that conducts hearings across Canada. There are two procedures followed: the informal and general procedures.
You may qualify to proceed under the Informal Procedure if:
- The disputed amount of federal tax and penalties is not more than $25,000 per assessment;
- The disputed loss amount is not more than $50,000 per determination or
- Interest on federal taxes and on penalties is the only matter in dispute.
This procedure is generally more expedient than the General Procedure and the TCC is more flexible in its application of the rules of evidence. It should be noted that the judgment issued under the informal procedure will not be treated as a precedent for other cases.
There is no filing fee for an appeal under this procedure.
If you do not qualify to have your appeal heard under the informal procedure, the TCC will hear said appeal under the general procedure, regardless of the disputed amount.
Under this procedure the TCC requires a filing fee to accompany your Notice of Appeal. The applicable rates are as follows:
|Filing Fee||Total federal tax and penalty in dispute||Loss Contested|
|$250||Up to $49,999||Up to $99,999|
|$400||$50,000 to $149,999||$100,00 to $299,999|
|$550||$150,000 or more||$300,000 or more|