Tax Court of Canada Rules (General Procedure) (SOR/90-688a)

148. Where under section 16.2 of the Act a party has discontinued a proceeding, the other party may tax the costs thereof and, if the taxed costs are not paid within four days after taxation, may enforce payment as if judgment therefor had been granted.

149. Where a proceeding is settled on the basis that a party shall pay or recover costs and the amount of costs is not included in or determined by the settlement, the costs may be taxed under sections 153 to 159 on the filing of a copy of the minutes of settlement in the Registry.

149.1 On an appeal under the Income Tax Act, the Court may refuse or reduce costs otherwise payable to an appellant who, in circumstances in which the appellant could make an election under subsection 18(1) of the Act, does not make such an election.

150. Subject to the directions of the Court costs shall be taxed under sections 153 to 159.

• 151. (1) Unless the Court otherwise directs, and whatever the result of the proceeding,

  • (a) the costs of and occasioned by an amendment of a pleading made without leave shall be borne by the party making the amendment,

  • (b) the costs of or occasioned by an application to extend the time fixed by these rules or by a direction for doing an act, shall be borne by the party making the application,

  • (c) the costs of proving a document shall be borne by the party proving the document, if no request to admit the authenticity of the document was served under section 130,

  • (d) the costs of proving a document shall be allowed to the party proving the document if a request to admit the authenticity of the document was served under section 130 and the authenticity of the document was not admitted, and

  • (e) the costs of proving a fact shall be allowed to the party proving the fact, if a request to admit the fact was served under section 130 and the fact was not admitted, and the failure to do so has not been found by the Court to have been based on reasonable grounds.

• (2) Upon a taxation, such costs as may be allowed under subsection (1) shall be allowed, by way of set off or otherwise, without a special direction.

• 152. (1) Where a counsel for a party has caused costs to be incurred improperly or without reasonable cause or to be wasted by undue delay, misconduct or other default, the Court may make a direction,

  • (a) disallowing some or all of the costs as between the counsel and the client,

  • (b) directing the counsel to reimburse the client for any costs that the client has been ordered to pay to any other party, and

  • (c) requiring the counsel to indemnify any other party against costs payable by that party.

• (2) A direction under subsection (1) may be made by the Court on its own initiative or on the motion of any party to the proceeding, but no such direction shall be made unless the counsel is given a reasonable opportunity to make representations to the Court.

• (3) The Court may direct that notice of a direction against a counsel under subsection (1) be given to the client in the manner specified in the direction.