Page 22 - Donation Tax & VAT class slides

INTRODUCTION & APPLICATION OF LEGISLATION

Legal precedent

• The system of following legal precedent means that a lower court

is normally bound by the decision of a higher court.

• The Tax Court is bound by decisions of its Provincial High Court,

but need not follow the decisions of the High Court of another

provincial division.

• But having said that, the Tax Courts normally do follow the

decisions of other provincial divisions.

• Note, however, that decisions of the Tax Court are not binding on

other courts.

• In the same way, a provincial division need not follow the

decisions of another provincial division.

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