New Britain Plantations Limited v Acting Treasurer of the Territory of New Guinea [1936] HCA 22

55 C.L.R.] OF AUSTRALIA. 127

(HIGH COURT OF AUSTRALIA.)

NEW BRITAIN PLANTATIONS LIMITED . APPELLANT;

THE ACTING TREASURER OF THE }

TERRITORY OF NEW GUINEA RESPONDENT.

ON APPEAL FROM THE SUPREME COURT OF THE TERRITORY OF NEW GUINEA.

H.C. or A. Stamp Duty—Territory of New Guinea—Sales of land effected before commencement 1936. of ordinance—Instrument of transfer executed subsequent thereto—Transfer by = direction—Liability to duty—Stamp Duties Ordinance 1927-1933 (N.G.) (No. 37 Sypney. of 1927—No. 16 of 1933), secs. 6, 8 (1), 15, 37. May 5, 6, 14. Starke, Dixon

The Stamp Duties Ordinance 1927-1933 (N.G.) commenced on Ist February Starke, Dison

1928. It provides, by sec. 6, that from and after the commencement of the ordinance there shall be charged on conveyances or transfers on sale of any real property, duty as prescribed. Sec. 15 provides that any instrument which was executed before the commencement of the ordinance shall not be liable to duty thereunder. By sec. 37 (3), every sale of real property shall be chargeable with ad valorem duty upon the consideration therefor, and that duty shall be paid on the conveyance which seeks to give effect, whether directly or indirectly, to every sale of real property.

After the commencement of the ordinance an instrument of transfer, in respect of land situate in New Guinea, was executed by C, the transferor, and A and B, two directing parties, in favour of the appellant. The land had been sold by C to A, by A to B, and by B to the appellant. The con- sideration for each of these sales was set forth in the transfer. The contract for the first and second sales had been made before the commence- ment of the ordinance, and the contract for the third sale after its commence- ment.

128 HIGH COURT [1936, H.C. of A. Held that the instrument of transfer was dutiable under the Stamp Duties 1936. Ordinance 1927-1933 (N.G.), and that the duty should be calculated upon all leer at three considerations. New Barras Decision of the Supreme Court of the Territory of New Guinea (Phillips J.)