South Australia v Commonwealth [1942] HCA 14

Cons Appl Appl South Appl eee eet AG Fi De tctoria & v KR a a LR Gommene. Sumerdfjairs — EPMA Common. Gree Industry v Cth re lth (195 19 ATR 103 oe Gus Preheat 65 C.L.R.] OF AUSTRALIA. 373

(HIGH COURT OF AUSTRALIA.]

THE STATE OF SOUTH AUSTRALIA AND Panes

PO eR ee ret Oy mee AND

THE COMMONWEALTH AND ANOTHER . DEFENDANTS.

THE STATE OF VICTORIA AND ANOTHER PLAINTIFFS ;

AND

THE COMMONWEALTH AND ANOTHER . DEFENDANTS.

THE STATE OF QUEENSLAND AND pss. ANOTHER ae

AND

THE COMMONWEALTH AND ANOTHER . DEFENDANTS.

THE STATE OF WESTERN AUSTRALIA Point AND ANOTHER : : : :

AND

THE COMMONWEALTH AND ANOTHER . DEFENDANTS.

Constitutional Law—Destroying functions of States—Income tax—Financial assist- H, ©, or A. ance—Discrimination—Preference—Priority of Commonwealth tax over State tax 1942, —Military and naval defence—Taking over State officers—Acquisition of State Sage

ee are 3 ' ' Mnr.sourneg,

property—Just terms—Admissibility of evidence—Speeches in Parliament— Tove 2A

Report of Committee—Object or consequences of Act—" Scheme"? of legislation 29, 30;

—The Constitution (63 & 64 Vict. c. 12), secs. 51 (ti), (vi.), (wami.), (wawix.), July 23.

55, 96, 99, 109—States Grants (Income Tax Reimbursement) Act 1942 (No. 20 Latham O.J.,

of 1942)—Income Tax (War-time Arrangements) Act 1942 (No, 21 of 1942)— Aa Rens

Income Tax Assessment Act 1942 (No. 22 of 1942)—Income Tax Act 1942 " Williams JJ.

(No. 23 of 1942).

VOL, LXV. 26

"

H.C. or A.

1942, Se

Sourn AUSTRALIA v.

THE Common- WEALTH.

HIGH COURT (1942.

The Income!Tax Act 1942 and the States Grants (Income Tax Reimbursement) Act 1942 are respectively within the powers of the Commonwealth Parliament to make laws with respect to taxation and to grant financial assistance to any State, notwithstanding the condition of abstinence from imposing income tax attached to such grants under the last-mentioned Act. The two Acts men- tioned, whether considered separately, together, or in conjunction with sec, 31 of the Income Tax Assessment Act 1942 and the Income Tax (War-time Arrange- ments) Act 1942, are not invalid as being legislation directed towards destroying or weakening the constitutional functions or capacities of the States or as involving discrimination contrary to sec. 51 (ii.) of the Constitution or prefer-