DEPUTY COMMISSIONER OF TAXATION V. GUNN AND TAYLOR PROPRIETARY LIMITED 13/1952

IN THE HIGH COURT OF AUSsRALIA

_THE_._DEPUTY _COMMISSTONER... OF. TAXATION

ORIGINAL

REASONS FOR JUDGMENT

Judgment delivered at___Sydney.

HB Daw, Gor. Prit., Selb

canons on.._Tuesday, 14th April,.1953.

DEPUTY COMMISSIONER OF TAXATION

ve

GUNN AND TAYLOR PROPRIETARY LIMITED

JUDGMENT KITTO J.

DEPUTY COMMISSIONER OF TAXATION ve

GUNN AND TAYLOR PROPRIETARY LIMITED

JUDGMENT KITTO J.

This action has been brought as a test case to obtain a decision of the question whether sales tax is payable in respect of certain children's colouring books. Twenty books are in evidence, and it is admitted that they were manufactured in Australia by the defendant company, a registered person within the meaning of the Acts relating to sales tax, in the course of and as part of its business of manufacturing and publishing books. It is also admitted that the books were sold by the defendant to one F. J. Long, who was not a registered person, and who purchased the books for

the purposes of resale by retail.

The Sales Tax (Exemptions and Classifications) Act 1935-1951 (C'wlth) provides in s. 5 that notwithstanding anything contained in any Sales Tax Assessment Act, sales tax shall not, subject to the section, be payable upon the sale value of any goods covered by any item or sub—item in the first column of the First Schedule.to the Act, under any Act specified in the second column of that Schedule opposite that item or sub-iten. There is no other material provision in the section.

In Division 1X of the First Schedule there appears in the first column item 51 together with ten other items. In the second column, all nine Sales Tax Assessment

Acts are specified opposite sub-item (4) of item 51. This

sub—item covers books, pamphlets, leaflets, periodicals, magazines and printed music, but not including a variety of goods described in six paragraphs, (a) to (f) inclusive. Paragraph (a) is as follows :