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CUSTOMS AND EXCISE

Excise Tax Act

Mitchell Verification Services Group Inc. v. Canada (Attorney General)

A-615-98

2001 FCA 101, Sexton J.A.

3/4/01

3 pp.

Appeal from T.C.C. decision holding appellant not exempt from collecting GST for services provided by appellant to clients in insurance industry between 1990 and 1994--Whether services provided falling within definition of "financial services" in ETA, s. 123(1)(j)--Appeal dismissed--To qualify as "financial service" within definition, supplier thereof must both investigate and recommend compensation in settlement of insurance claim and be licensed under law of province to provide both investigatory and recommendatory functions--While appellant from time to time did make such recommendations, no evidence appellant licensed to provide such service--License under Private Investigators and Security Guards Act to investigate and furnish information not sufficient--Provision of recommendations involving exercise of judgment with respect to certain set of facts surrounding insurance claim--Mere provision of information does not--Tax Court Judge's reasons completely agreed with--Excise Tax Act, R.S.C., 1985, c. E-15, s. 123(1)(j) (as enacted by S.C. 1990, c. 45, s. 12)--Private Investigators and Security Guards Act, R.S.O., 1990, c. P-25.

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