COLES MYER FINANCE LIMITED v FC of T

Judges:
Mason CJ
Deane J
Dawson J
Toohey J
McHugh J

Court:
Full High Court

Judgment date: Orders handed down 19 May 1993

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Mason CJ

This case was heard in Canberra and judgment was handed down on 29 April 1993. The matter was stood over until today for the making of final orders and the parties were directed to bring in minutes of order. The Court now makes the following orders:

Appeal allowed with costs.

Set aside the orders of the Full Court of the Federal Court and in lieu thereof answer the questions in the special case referred to that court as follows:

• First Question: On the facts stated in this special case does the amount of $2,375,579, or some other and what amount constitute, within the meaning of section 51(1) of the Income Tax Assessment Act 1936, a loss or outgoing incurred by the applicant-
  • (a) in the year of income ended 30 June 1984;
  • (b) in the year of income ended 30 June 1985;
  • (c) partly and to what extent in the year of income ended 30 June 1984 and partly and to what extent in the year of income ended 30 June 1985?
• Answer: (a) Yes, as to part of the amount.
• (b) Yes, as to part of the amount.
• (c) Yes-
  • (i) in the year of income ended 30 June 1984, the amount of $538,460; and
  • (ii) in the year of income ended 30 June 1985, the amount of $1,837,119.
• Second Question: On the facts stated in this special case does the amount of $2,359,893, or some other and what amount constitute, within the meaning of section 51(1) of the Income Tax Assessment Act 1936, a loss or outgoing incurred by the applicant-
  • (a) in the year of income ended 30 June 1984;
  • (b) in the year of income ended 30 June 1985;
  • (c) partly and to what extent in the year of income ended 30 June 1984 and partly and to what extent in the year of income ended 30 June 1985?
• Answer: (a) Yes, as to part of the amount.
• (b) Yes, as to part of the amount.
• (c) Yes-
  • (i) in the year of income ended 30 June 1984, the amount of $1,618,805; and
  • (ii) in the year of income ended 30 June 1985, the amount of $741,088.

The respondent to pay the appellant's costs in the special case in the Federal Court.