19s
FREDERICK FRANKLIN WORTHING- *May 10,13,
TON (DEFENDANT)
..................
-_ 1THE
ATTORNEY-GENERAL
OF THE
J
PROVINCE OF MANITOBA
(PLAIN-]
APPELLANT; RESPONDENT. TIFF) ....................................
JAMES FORBES (DEFENDANT) .........
AND
APPELLANT; THE ATTORNEY-GENERAL OF THE
PROVINCE OF MANITOBA
(PLAIN- RESPONDENT. TIFF)
.......
.........................
J
ON APPEAL FROM THE OF APPEAL MANITOBA The imposition of the tax on wages by Part I of The Special Income Tax Act of Manitoba, 1933, c. is direct taxation, and is intra vires. The tax is imposed upon the employee; it is not in substance a tax on the employer's pay roll. Secs. 4, 5, 6 and, the second part of s. 7 of the Act do not attempt to impose the tax as such upon the employer but merely provide for the collection and recovery of the tax.
The appellants, both resident within the province, one an officer of the permanent force of the active militia of Canada, the other a civil servant of the Dominion Government, were each held to be liable for the said tax in respect of the pay, allowance or wages received by him from the Government of Canada.
Abbott v. City of Saint John, 40 Can. S.C.R. 597, cited and applied. Judgments of the Court of Appeal for Manitoba, 42 Man. L.R. 540, 569, affirmed.
Cannon and Crocket JJ. dissented.
Per Duff CJ.: (1) Even assuming everything in said ss. 4, 5, 6 and second part of s. 7 which imposes any duty or liability upon the employer to be struck from the Act as ultra vires, there would still stand enactments valid and complete for the purpose of making the taxes in question exigible from the taxpayer.
(2) Said ss. 4, etc., read by the light of well settled and well known canons of construction, do not extend to the Crown or to the officers of the Crown in the right of the Dominion or of any province, other, at all events, than Manitoba, or to the revenues of the Crown in these respective *PRESENT:-Duff CJ. and Lamont, Cannon, Crocket and Davis JJ.