Brand, R.G. v The Commissioner of Taxation of the Commonwealth of Australia [1995] FCA 300

CATCHWORDS Income tax - deductions - outgoings allowable to extent to which incurred in gaining or producing assessable income - disproportion between outgoings and income - character of outgoings - voluntary prepayment of seven years licence fees for prawn farming project - deferment of commencement of income earning activity - whether sufficient contemporaneity - Income Tax Assessment Act 1936, s51(1) Fletcher v Federal Commissioner of Taxation (1991) 173 CLR 1 Federal Commissioner of Taxation v Lau (1984) 6 FCR 202 Federal Commissioner of Taxation v Emmakell Pty Ltd (1990) 22 FCR 157 Federal Commissioner of Taxation v Solling (1985) 80 FLR 370 Commissioner of Taxation v Ilbery (1981) 38 ALR 172 Ure v Federal Commissioner of Taxation (1981) 50 FLR 219 Federal Commissioner of Taxation v Cooper (1991) 29 FCR 177 Federal Commissioner of Taxation v Smith (1981) 147 CLR 578 Federal Commissioner of Taxation v Finn (1961) 106 CLR 60 Ronpibon Tin NL v Federal Commissioner of Taxation (1949) 78 CLR 47 Federal Commissioner of Taxation v Riverside Road Lodge Pty Ltd (in liq) (1989) 23 FCR 305 Federal Commissioner of Taxation v Maddalena (1971) 45 ALJR 426 Lodge v Federal Commissioner of Taxation (1972) 128 CLR 171 The Griffin Coal Mining Company Limited v Federal Commissioner of Taxation (1989) 89 ACT 4745 RONALD GRANT BRAND v THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA NO WAG 32 OF 1992 R D Nicholson J. Perth 5 May 1995

IN THE FEDERAL COURT OF AUSTRALIA) WESTERN AUSTRALIA DISTRICT REGISTRY) GENERAL DIVISION ) NO WAG 32 OF 1992

B E T W E E N: RONALD GRANT BRAND Applicant and

COMMISSIONER OF TAXATION Respondent MINUTE OF ORDER

JUDGE MAKING ORDER: R D NICHOLSON J. DATE OF ORDER: 5 MAY 1995 WHERE MADE: PERTH

THE COURT ORDERS THAT:

(1) The appeal be allowed.