Commissioner of Taxation v Galland, Michael Bernard [1984] FCA 434

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INCOME TAX -~- Assessable income

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CATCHWORODS

- Assignment of portion of

taxpayer's share in partnership to trustee of family trust -

Whether the consequence of assignment was to vest in trust

relevant share of partnership profits for the whole year -

Whether Commissioner of Taxation. can nominate when partnership

accounts can be taken - Delivéry of deed in escrow - Creation of -

trust - Commercial reality - Equity and good conscience.

INCOME TAX ASSESSMENT ACT 1936 ss,92, 102(1), 102B, 161, 168.

THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA

Vv

MICHAEL BERNARD GALLAND

Bowen C.d., Fisher and Beaumont JJ.

BY

lk December, 1984.

Sydney.

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY NO.G75 of 1984

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GENERAL DIVISION

ON APPEAL FROM THE SUPREME COURT OF NEW SOUTH WALES

BETWEEN:

THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF

AUSTRALIA

Appellant - and - MICHAEL BERNARD GALLAND

Respondent

ORDER

JUDGES MAKING ORDER Bowen C.J. Fisher & Beaumont JJ.

DATE OF ORDER I§ December 1984

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WHERE MADE : Sydney

THE COURT ORDERS THAT:

1. The appeal be dismissed.

2. The appellant, the Commissioner of Taxation of the

Commonwealth of Australia pay to the respondent his

costs of this appeal.

"IN THE FEDERAL COURT OF AUSTRALIA } )

NEW SOUTH WALES DISTRICT REGISTRY ) NO.G75 of 1984 ) )

GENERAL DIVISION

ON APPEAL FROM THE SUPREME COURT OF NEW SOUTH WALES

BETWEEN:

THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA

Appellant - and - MICHAEL BERNARD GALLAND

Respondent

CORAM: Bowen C.J., Fisher and Beaumont JJ.

+18 December, 1984

REASONS FOR JUDGMENT

BOWEN C.3. & FISHER J.: This 1s an appeal brought by the

Commissioner of Taxation ("the Commissioner") against a decision of the Supreme Court of New South Wales. That Court allowed the appeal of Michael Bernard Galland ("the. taxpayer") against the