Flemmich v Federal Commissioner of Land Tax [1916] HCA 17

21C.L.R.] OF AUSTRALIA. 167

lucidity, and which may be stated thus: If property originally MC: or A. settled be such that had the settlor died immediately before the si date of the settlement it would have been liable to pay probate Commis- duty, then so much of such property and of the proceeds thereof rae

arising through realization and reinvestment as is comprised in the

v. settlement at the death of the settlor remains liable to taxation CURRIE.

under sec. 112 of the Administration and Probate Act 1890. I gavan putty 4 therefore think that the judgment appealed from is right, and the appeal should be dismissed.

Ricu J. I agree. Appeal dismissed with costs.

Solicitor for the appellant, Z. J. D. Guinness, Crown Solicitor for Victoria. ~

Solicitors for the respondents, Davies & Campbell. Bali:

(HIGH COURT OF AUSTRALIA.|

FLEMMICH . 3 . f : APPELLANT ;

AND

THE FEDERAL COMMISSIONER OF LAND } RESPONDENT.

TAX Z Land Tax—Assessment—Joint owner also owning land in severalty subject to lease— H.C, or A. Assessment as secondary taxpayer—Deduction to avoid double taxation—Method 1916, of ascertaining amount of deduction—Value of whole of land of taxpayer— Deduction of value of lease—Land Tar Assessment Act 1910-1914 (No. 22 of \Sypwey, 1910—No. 29 of 1914), secs. 28, 38, 43, 43a. March 28.

Where a joint owner of land is also an owner in severalty of other land Griffith OJ.,

and is separately assessed under sec. 38 (3) of the Land Tac Assessment Act Gavat Baty and

1910-1914 in respect of his whole interests, the land held by him in severalty ™&47- is to be assessed according to the ordinary rules for assessing land so held.

H.C. of A. 1916.

Feperan Commis- SIONER OF

Lanp Tax.

HIGH COURT (1916.

If, therefore, the land held in severalty is subject to a lease granted before the commencement of the Act the taxpayer is entitled to have the unim- proved value of the lease of the land held in severalty deducted from the unimproved value of that land for the purpose of apportioning the amount — of his assessment between his interest in the joint estate and the land held in severalty.