Baxter v Federal Commissioner of Taxation [2002] FCA 1256

FEDERAL COURT OF AUSTRALIA

Baxter v Commissioner of Taxation (Cth) [2002] FCA 1256

TAXES AND DUTIES – sales tax – importation of luxury yacht – lease prior to importation – application to own use – whether goods satisfied exemption Item 59(1) in Sales Tax (Exemption and Classification) Act 1992 (Cth) – whether lease entered into was Eligible Long Term Lease for purposes of sales tax – whether transaction was non-arm's length transaction WORDS AND PHRASES – "non-arm's length transaction" – "application to own use" Sales Tax Assessment Act 1992 (Cth) ss 5, 26, 28(c), 94, Schedule 1, Table 1, AD10, AD13c Sales Tax (Exemptions and Classifications) Act 1992 (Cth) Schedule 1, Item 59(1) Taxation Administration Act 1953 (Cth) ss 14ZU, 14ZZ0 Radaich v Smith (1959) 101 CLR 209 referred to R v Bull (1974) 131 CLR 203 applied Davis v Federal Commissioner of Taxation (2000) 171 ALR 654 followed Commissioner of Stamp Duties (NSW) v Carlenka Pty Ltd (1995) 41 NSWLR 329 cited Baird v BCE Holdings Pty Ltd (1996) 40 NSWLR 374 cited Max Factor & Co Inc v Commissioner of Taxation (Cth) (1971) 124 CLR 353 referred to Deputy Commissioner of Taxation v Stewart (1984) 154 CLR 385 cited Re Securitibank Ltd (No.2) [1978] 2 NZLR 136 cited Davis v Commissioner of Taxation (Cth) [2000] ATC 4201 referred to Pontifex Jewellers (Wholesale) Pty Ltd v Commissioner of Taxation (Cth) (1999) 99 ATC 5324 referred to Trustee for the Estate of the Late AW Furse No 5 Will Trust (1991) 91 ATC 4007 referred to Granby Pty Ltd v Commissioner of Taxation (Cth) (1995) 129 ALR 503 referred to Copperart Pty Ltd v Commissioner of Taxation (Cth) (1993) 93 ATC 4779 referred to Vale Press Pty Ltd v Commissioner of Taxation (Cth) (1994) 53 FCR 92 cited MATTHEW ALEXANDER BAXTER v FEDERAL COMMISSIONER OF TAXATION Q103 OF 2001 GYLES J SYDNEY 11 OCTOBER 2002