Canada v. Paccar of Canada Ltd.
T-480-97
MacKay J.
8/5/98
20 pp.
Appeal from Canadian International Trade Tribunal (CITT) decision-Defendant importing "heavy duty highway tractors" for highway use in conjunction with semi-trailers-Installing air conditioning units in vehicles for use, comfort of driver, but not for maintaining temperature in semi-trailers attached to "tractors"-Act, s. 23(1) imposing excise tax on goods mentioned in Schedule I imported into Canada-Schedule I, s. 7 specifying "air conditioners designed for use in automobiles, station wagons, vans or trucks"-Since 1991 defendant remitting excise tax for each air conditioning unit installed-In 1993 requesting refund of excise tax paid-MNR disallowing refund application-On appeal CITT interpreting "trucks" in s. 7 as excluding defendant's vehicles-Whether "trucks" in s. 7 of Schedule I including defendant's "highway truck tractors"-Appeal allowed-Approach to statutory interpretation set out in Shaklee Canada Inc. v. Minister of National Revenue, [1996] 1 C.T.C. 180 (F.C.A.) applied-Onus on defendant to show vehicles outside meaning of word "trucks" as used in Schedule I, s. 7-Defendant submitting Parliament using different words to mean different things; presumption of coherence in application of statutes relating to same subject-matter; provincial legislation may aid in interpreting federal legislation-Because word's meaning derived from its context, hazardous to shift from one law to another without making adjustments dictated by new context-That class of vehicles known as "highway truck tractors" distinguished in some contexts from "trucks" not determinative that Schedule I, s. 7 not including "highway truck tractors" as subset of "trucks"-That "highway truck tractors" term used in industry also not determinative in interpreting scope of Schedule I, s. 7-No compelling evidence common meaning of "truck" not encompassing "highway truck tractor"-Defendant submitting expression's meaning influenced by words with which associated i.e. "automobiles", "station wagons", "vans", all passenger vehicles-If Parliament intended section to apply strictly to passenger vehicles, would not have specifed non-application of section in s. 8(a) to ambulances, hearses in which air conditioners permanently installed-Latter vehicles no more "passenger vehicles" than defendant's vehicles-When provision introduced in 1976, s. 7 applicable only to smaller vehicles, but scope of "trucks" determined by exemptions under other sections of Act-Act excluded larger trucks from air conditioner tax after 1976, not as function of definition of "trucks", but through operation of Schedule I, s. 8(c) as then applied-S. 8(c) exempting from tax on air conditioners "automobile, station wagon, van or truck" with permanently installed air conditioning equipment, sold in circumstances for which relief from consumption, sales tax provided under any provision of Act, other than s. 50(5)-"Any provision" including s. 51(1), incorporating by reference to Schedule III, "highway truck tractors"-Since "highway truck tractors" not subset of automobile, station wagon or van, must be subset of "truck"-Same reasoning concerning effect of s. 51(1) in refining scope of "trucks" in s. 8(c) applying to s. 7 where listed class of vehicles identical to those in s. 8(c)-As 1991 amendments changed scope of s. 8(c), any limitation on scope of word "trucks" imposed to that date removed-Change reflecting Parliament's intention tax be applied to all vehicles falling within ambit of general term "trucks"-Defendant not meeting onus of establishing to Court's satisfaction proposed interpretation intended by Parliament-Meaning of "trucks" in light of structure of Act as existed in 1976, indicating term in s. 7 including "highway truck tractors", except vehicles expressly exempted under other provisions of Act-Exemptions under legislation applicable in 1976 eliminated by 1991 amendments to Act-Excise Tax Act, R.S.C., 1985, c. E-15, ss. 23 (as am. by S.C. 1993, c. 25, s. 55), 81.24 (as am. by R.S.C., 1985 (2nd Supp.), c. 7, s. 38; (4th Supp.), c. 47, s. 52). 81.28 (as am. idem), Schedule I, ss. 7, 8.