Harland as Trustee for the PCS Global Discretionary Trust v Commissioner of Taxation

[2013] AATA 930

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Harland as Trustee for the PCS Global Discretionary Trust
v Commissioner of Taxation

Tribunal:

Member: Deputy President S A Forgie

Subject References:
TAXATION
GOODS AND SERVICES TAX
whether meets criteria for an input tax credit
whether acquisition and supply of rights under contract
entity claiming input tax credit not party to contract
whether consideration
assessment of penalty
objection decisions affirmed

Legislative References:
A New Tax System (Australian Business Number) Act 1999 - The Act
Competition and Consumer Act 2010 - s 4; s 14; s 47
Corporations Act 2001 - s 119; s 129; s 601AD
Crimes Act 1914 - s 4AA
Income Tax Assessment Act 1936-1969 - s 190
Income Tax Assessment Act 1936 - s 190; s 223; s 226G; s 226H
Income Tax Assessment Act 1997 - s 995-1
Limitation Act 1980 - The Act
Migration Act 1958 - s 20
Sales Tax Assessment Act (No 1) - s 45
Taxation Administration Act 1953 - s 3AA; s 3A; s 14ZL; s 14ZY; s 14ZZK; s 14ZZ; Sch1 105-5; Sch1 105-40; Sch1 284-75; Sch1 284-80; Sch1 284-85; Sch1 284-90; Sch1 284-220; Sch1 284-225; Sch1 298-20; Sch1 298-30
Tax Agent Services Act 2009 - The Act
A New Tax System (Goods and Services Tax) Regulations 1999 - r 40-5.09; r 40-5.11
Administrative Appeals Tribunal Regulations 1976 - r 19

Case References:
Alexandra Private Geriatric Hospital Pty Ltd v Blewett - (1984) 2 FCR 368; 56 ALR 265
Ansett Transport Industries (Operations) Pty Ltd v Commonwealth - [1977] HCA 71; (1977) 139 CLR 54; 17 ALR 513; (1978) 52 ALJR 254
AP Group Limited v Commissioner of Taxation - [2013] FCAFC 105
Aurora Developments Pty Ltd v Federal Commissioner of Taxation (No 2) - [2011] FCA 1090; (2011) 196 FCR 457
Australian Woollen Mills Pty Ltd v The Commonwealth - [1954] HCA 20; (1954) 92 CLR 424
Bakewell v Deputy Federal Commissioner of Taxation (SA) - [1937] HCA 11; (1937) 58 CLR 743
Baulkham Hills Private Hospital Pty Ltd v GR Securities Pty Ltd - (1986) 40 NSWLR 622
Beaton v McDivitt - (1987) 13 NSWLR 162
Bolton v Stone - [1951] AC 850; [1951] 1 All ER 1078
BRK (Bris) Pty Ltd v Commissioner of Taxation - [2001] FCA 164; (2001) 46 ATR 347
Elmdene Estates v White - [1960] AC 528
Federal Commissioner of Taxation v Dalco - [1990] HCA 3; (1990) 168 CLR 614; 90 ALR 341; 20 ATR 1370; 64 ALJR 166; 90 ATC 4088
Federal Commissioner of Taxation v Multiflex Pty Ltd - [2011] FCAFC 142; (2011) 197 FCR 580; 284 ALR 279; 82 ATR 153; 125 ALD 8
Galea v Commissioner of Taxation - [1990] FCA 456; (1990) 90 ATC 5060; 21 ATR 1108
Gauci and Federal Commissioner of Taxation - (1975) 135 CLR 81
Hart v Commissioner of Taxation - [2003] FCAFC 105; (2003) 131 FCR 203; 53 ATR 371
Harvey v Edwards, Dunlop & Co Ltd - [1927] HCA 13; (1927) 39 CLR 302
Kajewski v Federal Commissioner of Taxation - [2003] FCA 258; [2003] ATC 4375
Kennedy v Administrative Appeals Tribunal - [2008] FCAFC 124; (2008) 168 FCR 566; 249 ALR 87; 103 ALD 238; [2008] ATC 20-037; 73 ATR 276; 48 AAR 500
Krampel Newman Partners Pty Ltd v Federal Commissioner of Taxation - [2001] FCA 976; [2001] ATC 4473
Masters v Cameron - [1954] HCA 72; (1954) 91 CLR 353
McAndrew v Federal Commissioner of Taxation - (1956) 98 CLR 263; 30 ALJR 464
McCormack v Federal Commissioner of Taxation - [1979] HCA 18; (1979) 143 CLR 284; 23 ALR 583; 9 ATR 610; 53 ALJR 436; 79 ATC 4111
McDermott Industries (Aust) Pty Ltd v Federal Commissioner of Taxation - [2003] FCA 139; (2003) 52 ATR 42
Minister for Aboriginal Affairs v Peko-Wallsend Ltd - [1986] HCA 40; (1986) 162 CLR 24; 66 ALR 299
Minister for Immigration v Dela Cruz - [1992] FCA 71; (1992) 34 FCR 348; 110 ALR 367; 26 ALD 663
Minister for Immigration and Multicultural Affairs v Yusuf - [2001] HCA 30; (2001) 206 CLR 323; 180 ALR 1; 62 ALD 225
Multiflex Pty Ltd v Federal Commissioner of Taxation - [2011] FCA 789
Pampered Paws Connection Pty Ltd v Pets Paradise Franchising (Qld) Pty Ltd (No. 10) - [2012] FCA 25
Pang v Bydand Holdings Pty Limited - [2010] NSWCA 175
Pearson v Deputy Commissioner of Taxation - [2009] FCA 558; (2009) 74 ATR 437
Peco Arts Inc v Hazlitt Gallery Ltd -
Perry v Ellis - [1946] SASR 282
Re Dixon ATF the Dixon Holdsworth Superannuation Fund and Federal Commissioner of Taxation - [2006] AATA 130; (2006) 62 ATR 1001; 2006 ATC 2092
Re Ku-ring-gai Cooperative Building Society (No 12) Ltd - [1978] FCA 50; (1978) 22 ALR 621; 36 FLR 134
Re Rod Mathieson Truck Hire Pty Ltd as trustee of the Mathieson Family Trust and Commissioner of Taxation - [2013] AATA 496
Re The Trustee for the Confidential Trust and Commissioner of Taxation - [2013] AATA 682
Revlon Manufacturing Limited v Federal Commissioner of Taxation - (1995) 63 FCR 535
Riordan v Australian Sports Drug Agency - [2002] FCA 858; (2002) 120 FCR 424; 35 AAR 262; 69 ALD 344
Sherritt Gordon Mines Ltd v Federal Commissioner of Taxation - [1977] VR 342; (1976) 10 ALR 441
Sinclair Scott & Co Ltd v Naughton - [1929] HCA 34; (1929) 43 CLR 310
Tasman Capital Pty Ltd v Sinclair - [2008] NSWCA 248; (2008) 75 NSWLR 1
The Leasing Centre (Aust) Pty Ltd v Rollpress Proplate Group Pty Ltd - [2010] NSWSC 282
Thiess Contractors Pty Ltd v Placer (Granny Smith) Pty Ltd - [1999] WASC 1046
Toohey v Gunther - [1928] HCA 19; (1928) 41 CLR 181
Weyers & Anor v Federal Commissioner of Taxation - [2006] ATC 4523; (2006) 63 ATR 268; [2006] FCA 818
White v Elmdene Estates Ltd -

Other References:
Federal Court Rules, O 29 r 5
Chambers 21st Century Dictionary, 1999, reprinted 2004, Chambers

Hearing date: 21 November 2013
Decision date: 20 December 2013

Melbourne

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ORDER

The Tribunal decides:

1. to affirm the respondent's objection decision of 26 November 2012 which:

(1)

disallowed the applicant's objection against the respondent's assessment of net amount for the quarterly tax period ending 31 March 2012; and

(2)

disallowed the applicant's objection against the respondent's assessment of administrative penalty assessment for the quarterly tax period ending 31 March 2012.