National Mutual Life Association of A/asia Ltd v Commissioner of Taxation (Cth) [1959] HCA 6

High Court of Australia Dixon C.J. McTiernan, Kitto, Taylor and Windeyer JJ. National Mutual Life Association of A/asia Ltd v Commissioner of Taxation (Cth) [1959] HCA 6

ORDER Questions answered as follows: (a) No; (b) Does not arise. Costs of the case stated to be dealt with by the judge disposing of the appeal.

Cur. adv. vult.

The following written judgments were delivered:—

Feb. 27, 1959 Dixon C.J.

I have had the advantage of reading the judgment prepared by Windeyer J. and I agree in it.

McTiernan J.

I agree that the questions in this case should be answered in the manner stated in the order of the Court.

Kitto J.

I have had the privilege of reading the judgment of my brother Windeyer. I agree in it and have nothing to add.

Taylor J.

The question in this case is whether the respondent Commissioner is entitled to treat an amount of £3,293 as assessable income of the respondent for the income year which ended on 30th September 1947. This sum represents part of the premiums received by the appellant pursuant to policies of insurance of the four classes specified in par. 4 of the case stated and the appellant's contention is that the whole amount of its premium receipts attributable to such policies answers the description of "premiums received in respect of policies of life assurance" and, therefore, that no part of those premiums should be included in its assessable income (Income Tax Assessment Act 1936-1947, s. 111).

A brief reference to par. 4 is sufficient to reveal that some, at least, of the policies in question are, in form, designed to secure to the assured additional benefits of a character which, considered alone, are foreign to the concept of life assurance. But, principally at least, the policies are policies of life insurance and it may well be thought that the additional benefits provided are properly so described. Nevertheless, it will be necessary to consider the characteristics of each class of policy and to determine whether all, or any, of the policies in question answer the description contained in s. 111.