Industrial Equity Ltd v Deputy Commissioner of Taxation [1990] HCA 46

High Court of Australia Mason C.J. Brennan, Deane, Dawson, Toohey, Gaudron and McHugh JJ. Industrial Equity Ltd v Deputy Commissioner of Taxation [1990] HCA 46

ORDER Appeals dismissed with costs.

Cur. adv. vult.

The following written judgments were delivered:—

Nov. 13 Mason C.J., Brennan, Deane, Dawson, Toohey and McHugh JJ.

These appeals from orders of the Full Court of the Federal Court raise questions as to the power of the Commissioner of Taxation to conduct what were referred to in argument as random audits. As there is an element of question-begging in the term "random", it is necessary to state with some precision just what the Court is called upon to determine.

Each appeal arises from an application for an order of review made under the provisions of the Administrative Decisions (Judicial Review) Act 1977 Cth ("the A.D.(J.R.) Act"). By the first application, Industrial Equity Ltd. ("I.E.L.") and Bankers Trust Australia Ltd. ("Bankers Trust") sought to have set aside decisions made on or about 13 April 1989 by the first respondent, the Deputy Commissioner of Taxation, and the second respondent, Ronald James Crawley, who is an officer of the first respondent, to issue to the third respondent, Peter Thomas Carroll, also an officer of the first respondent, a document entitled "Authorisation for Access" directed to Bankers Trust and associated companies. By the same application, those appellants also sought to have set aside decisions by all respondents to seek access to the premises of Bankers Trust and review of their conduct in seeking that access. The authorization purported to have been made pursuant to s. 263 of the Income Tax Assessment Act 1936 Cth ("the Act"). Section 263(1) of that Act reads:

The Commissioner, or any officer authorized by him in that behalf, shall at all times have full and free access to all buildings, places, books, documents and other papers for any of the purposes of this Act, and for that purpose may make extracts from or copies of any such books, documents or papers.