Summary of Issue: Allocation Of Earnings

Decision A-0416.97 Full Text of Decision A-0416.97

The FCA found no reviewable error on the part of the Umpire. The facts support the conclusion that the claimant was an investor and not self-employed within the meaning of the Reg. Case distinguishable from Caron Bernier (A-0136.96).**NOTE: For more information on the facts, refer to CUB 37627.

Decision 37627 Full Text of Decision 37627

Claimant owns 50% of the farm. Employed full-time away from the farm and she puts in an insignificant amount of time (12 hrs/year) doing the farm's books. Umpire stated that the claimant, although part-owner in title of a farm, is not self-employed in farmings and does not work on the farm on a regular basis. He did not find that the claimant's involvement in the farm is of such an extent so as to be considered self-employment in farming within the meaning of par. 57(6)(b). Her activities vis-a-vis the farm are that of a concerned investor.**NOTE: The Commission has appealed to the F.C. The claimant is self-employed and however minimal the claimant's participation is in the farming operation, she is subject to an allocation of part of the farming income.

Decision 31090 Full Text of Decision 31090

Claimant owns a farm but spends only a few hours a week on it. Income from farming was considered to be earnings pursuant to 57(6)b) of the Regulations. The Board erred in considering it to be investment income.

Decision 25593 Full Text of Decision 25593

I do not think it reasonable to insist that the CEIC should provide extensive advice as to how best claimants can avoid allocation of real income, any more than the officers of Revenue Canada should be regarded as reasonably obliged to advise taxpayers on how they may best minimize their income tax. I agree that results may be somewhat arbitrary in that he might well have chosen to sell all of his grain in 1 or 2 weeks instead of 8. A more rational system would provide for some kind of averaging of total annual gross income over the entire year. But that is not what the Regulations provide.

Decision 68742 Full Text of Decision 68742

The claimant failed to declare earnings from farming while receiving maternity benefits. She reported her farming income for Income Tax but not for EI. See similar decision CUB 67915A.