Selleck v Commissioner of Taxation for the Commonwealth of Australia [1997] FCA 799

FEDERAL COURT OF AUSTRALIA

TAXATION - assessable income - payment made by lessor as contribution to cost of fitting out premises to be leased by a newly merged firm of solicitors - transaction not in the ordinary course of the merged firm's business - whether contribution received as part of a business operation or commercial transaction in circumstances in which the firm's purposes in engaging in the transaction included the making of a gain from the contribution received in the transaction. Selleck v Commissioner of Taxation (1996) 96 ATC 4903 Commissioner of Taxation v Myer Emporium Limited (1987) 163 CLR 199, considered G P International Pipecoaters Pty Limited v Commissioner of Taxation (1990) 170 CLR 124, distinguished Commissioner of Taxation v Cooling (1990) 22 FCR 42, considered Rotherwood Pty Limited v Commissioner of Taxation (1996) 64 FCR 313, distinguished Lister Blackstone Pty Ltd v Commissioner of Taxation (1974) 134 CLR 457, distinguished Moana Sand Pty Ltd v Commissioner of Taxation (1988) 88 ATC 4897, distinguished Montgomery v Commissioner of Taxation (1997) 97 ATC 4287, distinguished Lees & Leech Pty Limited v Commissioner of Taxation (Hill J, 26 May 1997, unreported), considered and applied Dickenson v Commissioner of Taxation (1958) 98 CLR 460, considered and applied HENRY FRANCIS HOWDEN SELLECK v THE COMMISSIONER OF TAXATION FOR THE COMMONWEALTH OF AUSTRALIA VG 619 of 1996 VG 620 of 1996 VG 621 of 1996 BLACK CJ, LOCKHART, BEAUMONT JJ MELBOURNE 20 AUGUST 1997

IN THE FEDERAL COURT OF AUSTRALIA ) ) VICTORIA DISTRICT REGISTRY ) VG 619 of 1996 ) VG 620 of 1996 GENERAL DIVISION ) VG 621 of 1996

ON APPEAL FROM A JUDGE OF THE FEDERAL COURT OF AUSTRALIA

BETWEEN: HENRY FRANCIS HOWDEN SELLECK