Unit Trend Services Pty Ltd v Commissioner of Taxation [2012] FCAFC 112

FEDERAL COURT OF AUSTRALIA

Unit Trend Services Pty Ltd v Commissioner of Taxation [2012] FCAFC 112 Citation: Unit Trend Services Pty Ltd v Commissioner of Taxation [2012] FCAFC 112

Appeal from: Unit Trend Services Pty Ltd v Commissioner of Taxation [2010] AATA 497

Parties: UNIT TREND SERVICES PTY LTD ACN 010 382 242 v COMMISSIONER OF TAXATION

File number: QUD 337 of 2010

Judges: DOWSETT, BENNETT AND GREENWOOD JJ

Date of judgment: 17 August 2012

Catchwords: TAXATION – consideration of the application of the margin scheme to the supply of units in a property development – consideration of the instruments to be applied in calculating the margin – consideration of the elements of a scheme for the purposes of s 165-10(2) and Division 165 of A New Tax System (Goods and Services Tax) Act 1999 (Cth) (the "GST Act") – consideration of s 165-5(1) of the GST Act as to the circumstances in which the Division directed to "anti-avoidance" measures operates – consideration of whether a GST benefit obtained by an entity from a scheme is "attributable to" the making by an entity of a choice, election, application or agreement expressly provided for by the GST law – consideration of the notion of "attributable to" in the context of the GST Act – consideration of whether the GST benefit is attributable to the relevant choices or attributable to the scheme – consideration of the choices embodied in a particular scheme giving rise to a GST benefit – consideration of the effect of changes in the provisions applicable to margin schemes effected by the Tax Laws Amendment (2005 Measures No. 2) Act 2005 (Cth) – consideration of the question of penalties

Legislation: A New Tax System (Goods and Services Tax) 1999 (Cth) Div 9, 11, 31, 48, 75, ss 9, 17, 31, 38, 48, 75, 165, 182, 195 A New Tax System (Goods and Services Tax) Bill 1998 Explanatory Memorandum A New Tax System (Goods and Services Tax) Bill 1998 Supplementary Explanatory Memorandum A New Tax System Tax Administration Bill (No. 2) 2000 Explanatory Memorandum Acts Interpretation Act 1901 (Cth) ss 24, 23 Administrative Appeals Tribunal Act 1975 (Cth) s 44 Income Tax Assessment Act 1936 (Cth) s 177 Tax Laws Amendment (2005 Measures No 2) Act 2005 (Cth) s 75 Taxation Administration Act 1953 (Cth) s 297-20 of Schedule 1 Taxation Laws Amendment Act (No 8) 2000 (Cth) Item 2A, s 38