Court Opinion

ID: 9455110
Source: CourtListenerOpinion
Date Created: 2023-08-04 19:11:33.336587+00
Date Added: 2024-06-11T17:34:27.795676
License: Public Domain

*416COLLINS, Judge
(concurring):
I concur in full with the opinion of Judge Skelton as being in accord with our present laws and court decisions. However, I do so with regret, for the reason that this court, by its opinion, is lending credence to what I consider a discriminatory system of taxation. The classification that exists in Canada whereby mutual life insurance companies (and in some instances stock life companies) are exempt from paying income tax while stock casualty companies are not so exempt appears to have no reasonable or rational basis. Consequently, I feel that this system is highly discriminatory and, if subject to the laws of this country, would be a violation of the equal protection clause of the 14th amendment.
I recognize that it is neither the duty nor the right of this court to pass upon the validity of laws of other countries. For this reason, and this reason alone, I join in the opinion of Judge Skelton. However, this is not to say that the inequities in the Canadian taxing system should not be taken into consideration by Congress when drafting revenue laws relating to foreign tax credits. I would urge that the Congress take note of the injustice that is being perpetrated upon certain American insurance companies, in the hope that it might possibly be alleviated through proper legislation.