On Wed 11 March 2020, the High Court dismissed an appeal from a decision of the Full Court of the Federal Court of Australia – upholding CFC ‘attribution’ assessments on with whole of the Australian ‘dual listed’ entity’s share of the Marketing Hub ultimately owned by the Australian and UK dual listed entities. The High Court found that in buying product from subsidiaries of the UK Dual Entity, it had purchased goods from an ‘associate’ (because it was ‘sufficiently influenced’ under the definition of ‘associate’) and thus the Australian Dual Entity’s share of the Hub’s income, from selling the UK sub’s product, was attributable to the Australian Dual Entity, under Part X of the 1936 Act. On the same day, the ATO posted comments about this case (see related TT article).

See below for a summary of the case.

[Tax Month – March 2020]

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