Celgar loses tax appeal

Operator of Castlegar pulp facility faces financial setback

  • Aug. 20, 2014 3:00 p.m.

Mercer International’s Zellstoff Celgar mill.

Greg Nesteroff

Special to the Castlegar News

 

Zellstoff Celgar has lost another round in court in a long-running dispute with the provincial government over the amount it owes in property transfer taxes.

The BC Court of Appeal has ruled the owners of the Castlegar pulp mill must pay the Ministry of Small Business and Revenue more than $4.5 million, while the company argued it should only be on the hook for about $286,000.

At issue was whether the machinery and equipment in the mill should be included in calculating the total. The company claimed almost everything could be dismantled, removed, and sold, but the trial judge found that most of the machinery was affixed to the buildings, and that removing larger pieces would be expensive and non-viable.

Celgar appealed, but a three-member panel recently upheld the decision.

The Property Transfer Act imposes a one per cent tax on the first $200,000 and two per cent afterward on an estate’s fair market value.

Mercer International acquired the mill in 2005 for $210 million.

The full judgement can be found at bit.ly/VEfjQz

Just Posted

Castlegar council set to rule on three retail cannabis proposals

Residents have until Dec. 27 to comment on the business proposals

West Kootenay police take 18 impaired drivers off the road

Eight drivers were criminally impaired, says Sgt. Badry from West Kootenay Traffic Services

West Kootenay highways a mess as heavy snowfall continues

‘Roads are very icy, people have to be patient and have to slow down’

Nelson-area man wants trapping laws changed after dog killed

Louis Seguin’s 10-month-old Australian shepherd died in a body-gripping trap last month

Snowfall warning across the West Kootenay

A strong Pacific frontal system had Environment Canada issuing a snowfall advisory early Tuesday

Man caught on camera allegedly trying to defraud ICBC

Auto-insurer warns B.C. drivers to record info after crashes

Warning issued as forecast calls for 20-foot waves in Tofino

Dangerous waves, strong currents and upper-shoreline flooding expected for Tofino-Ucluelet area

An 800-pound pig named Theodore needs a forever home, B.C. society says

‘Theodore is not destined to be somebody’s bacon’

2,000 Canadians died of an overdose in first 6 months of the year

New data from the Public Health Agency of Canada shows the crisis is not subsiding

Teenager Alphonso Davies wins Canadian Men’s Soccer Player for the Year Award

Derek Cornelius and Chilliwack native, Jordyn Huitema were named Canadian Youth International Players of the Year

B.C. teen MMA fighter shows heart

Young Unity MMA competitors bring home Ws

Another B.C. city votes to ban single-use plastic bags

First six months of proposed ban would focus on education, not enforcement

UK Prime Minister Theresa May wins party no-confidence vote, but troubles remain

May won the vote of 317 Conservative legislators with a 200-117 tally

B.C. trustee’s anti-LGBTQ comments got him barred from schools

Barry Neufeld calls vote to leave him off liaison list ‘workplace discrimination’

Most Read