Commissioner of Taxation v. Gwynvill Properties Pty Ltd [1986] FCA 349

CATCHWORDS

INCOME TAX ~ Allowable deductions - Interest prepaid on loan - Purpose of pre-payment to gain a tax advantage - Whether prepaid interest deductible - Whether outgoing necessarily incurred in

carrying on business.

INCOME TAX ASSESSMENT ACT 1936 (Cth) sub.s.51(1), s.260.

THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA

Appellant - and - GWYNVILL PROPERTIES PTY. LIMITED.

Respondent AND GWYNVILL PROPERTIES PIrY. LIMITED.

Appellant

- and - THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA

Respondent

FISHER, NEAVES & JACKSON JJ. 18 AUGUST 1986

SYDNEY.

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IN THE FEDERAL COURT OF AUSTRALIA NEW SOUTH WALES DISTRICT REGISTRY

GENERAL DIVISION

JUDGES MAKING ORDER

WHERE MADE DATE OF ORDER

) ) ) No. G32 of 1985 ) NO.G251 OF 1985 )

ON APPEAL FROM THE SUPREME COURT OF NEW SOUTH WALES

BETWEEN:

THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA

Appellant - and - GHYNVILL PROPERTIES Pry. LIMITED Respondent AND

BETWEEN:

GWYNVILL PROPERTIES PTY. LIMITED

Appellant

THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA

Respondent

MINUTE OF ORDER

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FISHER, NEAVES & JACKSON JJ. SYDNEY 18 AUGUST 1986

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