Canada v. Munro
A-570-97
Décary J.A.
3/7/98
10 pp.
Judicial review of Tax Court decision allowing appeal with respect to taxing officer's decision allowing appeals against Minister-Under informal procedure of Tax Court of Canada Act, Garon J. awarding respondent reimbursement for any expenses incurred in connection with appeals-At taxation hearing claim for services of counsel disputed-Accountant representing respondent at hearing-Taxation officer holding Tax Court of Canada Rules (Informal Procedure) only allowing fees relating to services of counsel-Reviewing judge holding reimbursement of "any expenses" falling under R. 12(3) and could include agent fees-Application allowed-No power under Tax Court of Canada Act, s. 18.26 other than to "award costs"-Choice of words "any expenses" detracting neither from fact order only award of costs, nor from fact award of costs governed by Rules adopted with respect to costs-R. 10(1) giving Tax Court Judge discretion to award costs-Once decides to award costs, can only award costs permissible under Rules-Informal Procedure Rules permitting either award of fixed sum, in lieu of any taxed costs (R. 10(2)), or award of taxed costs, payable by one party to another-Taxed costs classified as either costs between party and party or costs between solicitor and client-"Any expenses" equated neither with order for costs in fixed sum nor order for solicitor and client costs-Agent not solicitor, and counsel for respondent not given opportunity to respond-Only equated with order for costs on party to party basis, usual order unless express words to contrary appearing in order-As "expenses" in context in which used not known to our law unless meaning "costs", sufficient to interpret it as having that very meaning-Not to do so tantamount to deciding Garon J. not exercising discretion to order costs judicially-Failure to appeal award not preventing Minister at taxation stage from arguing expense claimed outside scope of Rules as assuming "expenses" allowed therein usual fees, disbursements set out in Rules-Not case of collateral attack-Absent collateral attack issue, taxation officer's decision not so unreasonable as to suggest error in principle must have been cause-Informal procedure set out in Act specifically contemplating in s. 18.14 representation by agent, yet Rules committee has expressly restricted taxable fees to those relating to "services of counsel"-Does violence to very clear intent in R. 11 of restricting fees to services of counsel to suggest words "such other disbursements" in R. 12(3) can be interpreted in such way as to include fees for services of agents, and to allow such agents right to claim whatever want beyond, above what counsel allowed to claim-Agents not allowed to claim indirectly under R. 12(3) what has been directly denied them in R. 11-As costs claimed with respect to services of accountant as agent, not with respect to services as expert witness or in otherwise permissible capacity, costs cannot be allowed under Rules-Tax Court of Canada Rules (Informal Procedure), SOR/90-688, RR. 10, 11, 12 (as am. by SOR/96-504, s. 1)-Tax Court of Canada Act, R.S.C., 1985, c. T-2, ss. 18.14 (as enacted by R.S.C., 1985 (4th Supp.), c. 51, s. 5), 18.26 (as enacted idem).