Neill v Federal Commissioner of Land Tax [1912] HCA 19

14 C.L.R.] OF AUSTRALIA.

[HIGH COURT OF AUSTRALIA.}

NEILL AND ANOTHER. F : c . APPELLANTS;

AND

THE FEDERAL COMMISSIONER OF LAND | p,

ESPONDENT. RAK:

Land Tax—Trustee—Contingént interests—Land Tax Assessment Act 1910 (No. 22 of 1910), sec. 33.

'The 3rd proviso to sec, 33 of the Land Tax Assessment Act of 1910 pro- vides "that in the case of lands vested in a trustee under a settlement made before the first day of July, 1910, or under the will of a testator who died before that day, upon trust to stand possessed thereof for the benefit of a number of persons who are relatives of the settlor or testator, then, for the purposes of ascertaining the taxuble value of the land owned by him as such trustee, there may be deducted. . . . in respect of each share into which the land is in the first instance distributed under the settlement or will amongst such beneficiaries, the sum of Five thousand pounds, or the unim- proved value of the share, whichever is the less."

Held that the words 'is in the first instance divided " extend to contingent interests.

'A testator devised all his real and personal property including certain land to trustees upon trust after payment of certain annuities for such of the children of his daughter as being born in his lifetime should attain the age of 25 years, or, if a female, marry, or being born after his death, attained the age of 21 years or, being a female, married. The daughter married subse- quently to the testator's death and, at the time when the land was assessed in the hands of the trustees, had four children, the eldest of whom was 9 ears

of age.

Held, that the trustees were entitled to claim the statutory deduction in respect of each of the four children.

SpEcIAL Case stated by Griffith C.J. for the opinion of the High Court under sec. 46 of the Land Taa Assessment Act 1910.