Bonner v Chief Commissioner of State Revenue [2022] NSWSC 441

Supreme Court New South Wales

Medium Neutral Citation: Bonner v Chief Commissioner of State Revenue [2022] NSWSC 441 Hearing dates: 18 March 2022 Date of orders: 13 April 2022 Decision date: 13 April 2022 Jurisdiction: Common Law Before: Basten J Decision: (1) Grant the plaintiffs leave to appeal. (2) Dismiss the appeal. (3) Order that the plaintiffs pay the Chief Commissioner's costs in this Court. Catchwords: TAXES AND DUTIES – payroll tax – liability – employment agency contracts – agency contracts with clients to provide services of models – whether agency's contracts with models are "employment agency contracts" – did models work "in and for the conduct of the business" of the agency's clients – fact-sensitive inquiry – UNSW Global Pty Ltd v Chief Commissioner of State Revenue [2016] NSWSC 1852; 104 ATR 577 discussed STATUTORY INTERPRETATION – principles – whether literal meaning produced absurd results – reading down employment agency contract provisions by implied limitations – importing concepts from repealed provisions – purposive construction – use of extrinsic materials to divine purpose – Payroll Tax Act 2007 (NSW), Pt 3 Div 8 STATUTORY INTERPRETATION – extrinsic materials – legislative history – Pay-roll Tax Act 1971 (NSW) Legislation Cited: Civil and Administrative Tribunal Act 2013 (NSW), ss 80, 82, 83 Constitution, s 92 Entertainment Industry Act 2013 (NSW) Pay-roll Tax (Amendment) Act 1985 (NSW), Sch 1 Pay-roll Tax (Amendment) Act 1987 (NSW), Sch 1(1) Pay-roll Tax Act 1971 (NSW), ss 3, 3A, 3B, 3C Payroll Tax Act 2007 (NSW), ss 6, 7, 10, 13, 31, 37, 38, 39, 40, 41, 42; Pt 3, Div 8 State Revenue Legislation (Miscellaneous Amendments) Act 1998 (NSW), Sch 6 Taxation Administration Act 1996 (NSW), s 33 Cases Cited: Azzopardi v Tasman UEB Industries Ltd (1985) 4 NSWLR 139 Banfirn Pty Ltd v Chief Commissioner of State Revenue [2019] NSWSC 1058 Bayton Cleaning Co Pty Ltd v Chief Commissioner of State Revenue [2019] NSWSC 657 Bonner v Chief Commissioner of State Revenue [2020] NSWCATAD 231 Carr v Western Australia (2007) 232 CLR 138; [2007] HCA 47 Cooper Brookes (Wollongong) Pty Ltd v Commissioner of Taxation (1981) 147 CLR 297; [1981] HCA 26 Damjanovic & Sons Pty Ltd v The Commonwealth (1968) 117 CLR 390; [1968] HCA 42 Freelance Global Ltd v Chief Commissioner of State Revenue [2014] NSWSC 127 Independent Commission Against Corruption v Cunneen (2015) 256 CLR 1; [2015] HCA 14 Kavanagh v The Commonwealth (1960) 103 CLR 547; [1960] HCA 25 Kostas v HIA Insurance Services Pty Ltd (2010) 241 CLR 390; [2010] HCA 32 Nezovic v Minister for Immigration and Multicultural and Indigenous Affairs (No 2) (2003) 133 FCR 190; [2003] FCA 1263 Owners of the Ship 'Shin Kobe Maru' v Empire Shipping Co Inc (1994) 181 CLR 404; [1994] HCA 54 R v XY (2013) 84 NSWLR 363; [2013] NSWCCA 121 Re Bolton; Ex parte Beane (1987) 162 CLR 514; [1987] HCA 12 Securecorp (NSW) Pty Ltd v Chief Commissioner of State Revenue [2019] NSWSC 744 Takapana Investments Pty Ltd v Teco Information Systems Co Ltd (1998) 82 FCR 25 The Queen v A2 (2019) 269 CLR 507; [2019] HCA 35 UNSW Global Pty Ltd v Chief Commissioner of State Revenue [2016] NSWSC 1852; 104 ATR 577 Texts Cited: D C Pearce, Statutory Interpretation in Australia (9th ed, 2019, LexisNexis Butterworths), [1.12], [1.17] New South Wales Legislative Council, Parliamentary Debates (Hansard), vol 267, p 8691, State Revenue Legislation (Miscellaneous Amendments) Bill Category: Principal judgment Parties: Chelsea Bonner (First Plaintiff) Bella Management Group Pty Ltd (Second Plaintiff) Chief Commissioner of State Revenue (Defendant) Representation: Counsel: Mr K Josifoski (Plaintiffs) Mr D Stretton (Defendant)