Dennis Willcox Pty Ltd v. The Commissioner of Taxation of the Commonwealth of Australia [1988] FCA 244

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JUDGMENT No. PALL BB

AY ORD

Crown ~ Administrative appeals legislation (Cth.) - Administrative Appeals Tribunal - Failure to mention in the reasons for the Tribunal's decision a submission of a party - Error of law in some

circumstances.

Income tax - Income derived by taxpayer - Beneficial interest of taxpayer company in shares sold to taxpayer wholly owned and controlled by vendor ~ "Lifting of corporate veil" eschewed.

Income Tax Assessment Act 1936 - ss. 26(a), 26AAA(2) Administrative Appeals Tribunal Act 1975 - ss. 43(2), 44(1)

Smith, Stone and Knight Ltd. v. City of Birmingham (£19391 4 All

E.R. 116 i je r td. v. don. Borouqh of Tower Hamlets €19763 3 All E.R. 462 Pioneer Concrete Services Ltd. v. Yelnah Pty. Ltd. (1986) 11

A.C.L.R. 108

Hote] Terrigal Pty. Ltd. (in lig.) v. Latec Investments Ltd. (No.

2) £1969] 1 N.S.W.R. 676

Salomon v. Salomon C1897] A.C. 22 Farrar v. Farrars Gtd. (1888) 40 Ch. D. 395

DENNIS WILLCOX PTY. LTD. v. THE COMMISSIONER OF TAXATION OF THE (e) TH OF s' I

No. VG136 of 1987

Woodward, Jenkinson and Foster JJ.

Melbourne 23 April, 1988

FEDERAL COURT OF

AUSTRALIA PRINCIPAL

REGISTRY

IN THE FEDERAL COURT OF AUSTRALIA ) VICTORIA DISTRICT REGISTRY ) No. VG136 of 1987 GENERAL DIVISION )

On appeal from the Taxation Appeals Division of the Administrative Appeals Tribunal constituted by Mr. C.J. Bannon (Deputy President)

BETWEEN: DENNIS WILLCOX PTY. LTD.

Applicant AND: THE OMMISS TONER oF Lt TION OF THE COMMONWEALTH OF AUSTRALIA Respondent MI FORDER JUDGES: Woodward, Jenkinson and Foster JJ. PLACE: Melbourne DATE: 21 April, 1988 TO S$ : 1. The amended notice of appeal be further amended by

adding after Ground D in paragraph 4 thereof the

following grounds:

"E. The Tribunal erred in law in failing to consider whether in calculating any

profit to be included in the Applicant's assessable income pursuant to either