Côté v. Canada
A-1047-96
Létourneau J.A.
10/11/99
3 pp.
Appeal from Tax Court's decision MNR justified in 1998 in taxing appellant on all capital gains from sale of shares purchased by appellant when he and wife married (since 1959) in community of property restricted to acquests, and shares part of that community-Application of Sura v. The Minister of National Revenue, [1962] S.C.R. 65-Although spouses co-owners of community property, for tax purposes must consider inter alia fact husband held all attributes of ownership and absolute enjoyment of property, wife did not have plenitude of rights ordinarily conferred by ownership and plenitude of ownership only accrued on dissolution of community-In view of nature of ownership which accrued to appellant's wife over community property, not possible to conclude for tax purposes wife acquired ownership of community property in year purchased by husband, who administered community property by himself, or that she acquired proceeds of disposition of that property in year sold by him within meaning of ss. 39(1)(a) and 54(c)(i)-Except in event of dissolution of community, no right to share of proceeds or income might generate-Husband had full enjoyment and could dispose of all property-Income Tax Act, S.C. 1970-71-72, c. 63, ss. 39(1)(a), 54(c)(i) (am. by S.C. 1985, c. 45, s. 126).