Commissioner of Taxation v SNF (Australia) Pty Ltd [2011] FCAFC 74

FEDERAL COURT OF AUSTRALIA

Commissioner of Taxation v SNF (Australia) Pty Ltd [2011] FCAFC 74 Citation: Commissioner of Taxation v SNF (Australia) Pty Ltd [2011] FCAFC 74

Appeal from: SNF (Australia) Pty Ltd v Commissioner of Taxation [2010] FCA 635 and SNF (Australia) Pty Ltd v Commissioner of Taxation (No 2) [2010] FCA 823

Parties: COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA v SNF (AUSTRALIA) PTY LTD

File number: VID 731 of 2010

Judges: RYAN, JESSUP & PERRAM JJ

Date of judgment: 1 June 2011

Catchwords: EVIDENCE – Probative value of admitted but inadmissible hearsay INCOME TAX – International taxation – Transfer pricing – Determination of arm's length consideration – Whether taxpayer obliged to identify single arm's length consideration – Selection of appropriate comparable transactions – Income Tax Assessment Act 1936 (Cth) ss 136AA(3)(d), 136AD(3), 136AD(4), International Tax Agreements Act 1953 (Cth) – Relevance of double taxation treaties to construction of domestic taxation legislation INTERNATIONAL LAW – Double taxation treaties between Australia and France, the United States of America and China – Whether treaties to be interpreted in accordance with Article 31 of Vienna Convention on the Law of Treaties – Whether commentary on OECD Model Convention relevant to the construction of double taxation treaties – Whether OECD guidelines relevant to the construction of double taxation treaties

Legislation: Income Tax Assessment Act 1936 (Cth) ss 136AA, 136AD International Tax Agreements Act 1953 (Cth) ss 6, 9A, 11S, Sched 2, 11, 28 Taxation Administration Act 1953 (Cth) s 14ZZO