National Australia Bank Ltd v The Commissioner of Taxation of the Commonwealth of Australia [1997] FCA 1394

FEDERAL COURT OF AUSTRALIA INCOME TAX - Deductions - Lump sum payment by bank to Commonwealth for exclusive right to make subsidised loans to ADF personnel - Character of advantage sought by payment ‑ Capital or revenue expenditure.

Income Tax Assessment Act 1936 (Cth) s 51(1)

GP International Pipecoaters Pty Ltd v Federal Commissioner of Taxation (1990) 170 CLR 124 applied Mount Isa Mines Ltd v Federal Commissioner of Taxation (1992) 176 CLR 141 applied BP Australia Ltd v Federal Commissioner of Taxation (1965) 112 CLR 386 considered Murray v Imperial Chemical Industries Ltd [1967] Ch 1038 cited Inland Revenue Commissioners v Longmans Green & Co Ltd (1932) 17 TC 272 cited Anglo‑Persian Oil Co v Dale [1932] 1 KB 124 cited Sun Newspapers Ltd v Federal Commissioner of Taxation (1938) 61 CLR 337 applied Broken Hill Theatres Pty Ltd v Federal Commissioner of Taxation (1952) 85 CLR 423 cited Western Gold Mines NL v Commissioner of Taxation (WA) (1938) 59 CLR 729 applied United Energy Ltd v Federal Commissioner of Taxation (1997) 97 ATC 4,796 cited Trade Practices Commission v Ansett Transport Industries (Operations) Ltd (1978) 32 FLR 308 cited Federal Commissioner of Taxation v Raymor (NSW) Pty Ltd (1990) 24 FCR 90 cited Magna Alloys and Research Pty Ltd v Federal Commissioner of Taxation (1980) 33 ALR 213 cited Hancock v General Reversionary and Investment Co [1919] 1 KB 25 cited Commissioner of Taxes v Nchanga Consolidated Copper Mines Ltd [1964] AC 948 cited Foley Brothers Pty Ltd v Federal Commissioner of Taxation (1965) 13 ATD 562 cited NATIONAL AUSTRALIA BANK LIMITED (ACN 004 044 937) v THE COMMISSIONER OF TAXATION OF THE COMMONWEALTH OF AUSTRALIA VG 330 OF 1997 NORTHROP, FRENCH AND SUNDBERG JJ 11 DECEMBER 1997 MELBOURNE

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY VG 330 of 1997