De Luxe Red & Yellow Cabs Co-Operative (Trading) Society Ltd v Commissioner of Taxation [1997] FCA 840

FEDERAL COURT OF AUSTRALIA INCOME TAX- whether taxi drivers are "employees" - whether payments to taxi drivers are wholly or principally for the labour of the drivers - whether payments to drivers constitute "salary or wages" under s221A(1) of the Income Tax Assessment Act 1936 - whether taxi operators required to deduct tax under s 221C(1A) of that Act SUPERANNUATION- whether taxi operators are required to pay a superannuation guarantee charge in the event of any shortfall- s16 of the Superannuation Guarantee (Administration) Act 1992 Income Tax Assessment Act 1936 (Cth), ss 221A(1) & (2), 221C(1A) Superannuation Guarantee (Administration) Act 1992 (Cth), s16 Federal Commissioner of Taxation v J Walter Thompson (Australia) Pty Ltd (1944) 69 CLR 227, referred to and applied Zuijs v Wirth Brothers Pty Ltd (1955) 93 CLR 561, applied Federal Commissioner of Taxation v Barrett (1973) 129 CLR 395, applied Powles v Hider (1856) 119 ER 841, considered Smith v General Motor Cab Company Ltd [1911] AC 189, considered London General Cab Co Ltd v Commissioner of Inland Revenue (1950) 29 TC 407, considered Dillon v Gange (1941) 64 CLR 253, considered Checker Taxi-Cab Co Ltd v Stone [1930] NZLR 169, considered Northern District Radio Taxicab Co-operative Ltd v Commissioner of Stamp Duties [1975] 1 NSWLR 346, considered Yellow Cabs of Australia Ltd v Colgan [1930] AR 137, considered Taxiway Pty Ltd v Commissioner of State Revenue (1995) 95 ATC 4667, considered Emjay Motors Pty Ltd v Armstrong (unreported Supreme Court of Victoria, 24 August 1995), considered World Book (Australia) Pty Limited v Federal Commissioner of Taxation (1992) 27 NSWLR 377, applied Vabu Pty Limited v Federal Commissioner of Taxation (1996) 33 ATR 537, applied DE LUXE RED AND YELLOW CABS CO-OPERATIVE (TRADING) SOCIETY LTD & ORS v COMMISSIONER OF TAXATION NG 242 of 1996 HILL J SYDNEY 28 AUGUST 1997