Commissioner of Taxation v Bruton Holdings Pty Limited (in liquidation) [2010] FCA 978

FEDERAL COURT OF AUSTRALIA

Commissioner of Taxation v Bruton Holdings Pty Limited (in liquidation) [2010] FCA 978 Citation: Commissioner of Taxation v Bruton Holdings Pty Limited (in liquidation) [2010] FCA 978

Parties: COMMISSIONER OF TAXATION v BRUTON HOLDINGS PTY LIMITED (IN LIQUIDATION)

File number(s): NSD 966 of 2007

Judge: GRAHAM J

Date of judgment: 3 September 2010

Catchwords: TRUSTS AND TRUSTEES – whether a corporate trustee in liquidation, is entitled to indemnification by exoneration or recoupment out of the trust assets for costs incurred after it became a bare trustee

Legislation: Corporations Act 2001 (Cth) ss 436A(1), 446A(2), 491, 499, 513B(b), 513C(b), 556(1)(a) and 556(2) Income Tax Assessment Act 1997 (Cth) s 50-110 Legal Profession Act 2004 (NSW) s 255 Taxation Administration Act 1953 (Cth) s 260-5 of Schedule 1 Income Tax Assessment Act 1936 s 254(1)(h)

Cases cited: Bruton Holdings Pty Ltd (In liquidation) v Commissioner of Taxation of the Commonwealth of Australia(2009) 239 CLR 346 cited Bruton Holdings Pty Ltd (In liq) v Federal Commissioner of Taxation (2007) 244 ALR 177 referred to Octavo Investments Pty Limited v Knight (1979) 144 CLR 360 cited Vacuum Oil Company Proprietary Limited v Wiltshire (1945) 72 CLR 319 cited In Re Suco Gold Pty Ltd (in liquidation) (1983) 33 SASR 99 cited Glazier Holdings Pty Ltd (in liq) v Australian Men's Health Pty Ltd (in liq) [2006] NSWSC 1240 cited In re Universal Distributing Company Limited (in liquidation) (1933) 48 CLR 171 cited Commissioner of Taxation v Bruton Holdings Pty Limited (in liq) [2008] FCAFC 184 cited Herdegen v Federal Commissioner of Taxation (1988) 84 ALR 271 cited Re G B Nathan & Co Pty Ltd (in liq) (1991) 24 NSWLR 674 referred to