Précis: This is a decision on a point of law arising out of an action by the Crown to collect unpaid GST from a secured creditor of a bankrupt taxpayer. Callidus Capital Corporation, the secured creditor, had received, prior to the bankruptcy, proceeds from the assets of the tax debtor that were deemed to be held in trust under the provisions of the Excise Tax Act (“ETA”). The Federal Court held that the deemed trust did not survive the assignment in bankruptcy. Costs of $2,600 were awarded to Callidus on the application.
R. v. Callidus Capital - FC: Deemed trust under the ETA does not survive bankruptcyREAD MORE »