The former owner of CHOI station, Patrice Demers, will ultimately have to pay the $ 330,000 claimed by Revenu Quebec for unpaid tax assessments for the players of his Quebec hockey club, Radio X.
At the end of a long legal battle, Patrice Demers came up against an inadmissibility on the part of the highest court in the country Thursday morning, indicating that it would not look into the case on the merits. Acquired in 2003, the hockey team enjoyed some success, especially during the NHL lockout when Donald Brashear joined the club.
From 2006, and until the end of operations in 2008, the company considered its players to be self-employed. Mr. Demers’ company did not therefore withhold any withholding tax on the hockey players he had hired.
However, according to Revenu Québec, the players were employees. Five years later, the Revenue Agency attempted to recover the missing amounts, but the business was closed. The FISC therefore fell back on the accountant by training to retrieve the notices of assessment.
The former owner of CHOI, however, challenged this maneuver in court, but suffered two setbacks before the Court of Quebec, then last spring, before the Court of Appeal. “The objective pursued by the Company has nothing to do with the particular reality of hockey players, but is more in line with a desire to save money by no longer paying withholding taxes”, ruled the Court of ‘call.
The court “considers that Mr. Demers must be held personally responsible for the contributions payable by the Company as a director of the latter”.
Refusal in Supreme Court
Patrice Demers then turned to the Supreme Court of Canada to try to be heard, but the highest court in the country rejected the request for authorization Thursday morning. The highest court in the land can decide whether or not to hear a case.
The judges fell back on the decision of the Court of Appeal to justify their decision considering that it had been well directed.
Revenu Québec is therefore entitled to claim the sum of more than $ 330,000 from Patrice Demers even if the team has not existed for more than 12 years.