In a decision handed down on Fri 13.7.2012, the Victorian Court of Appeal, by majority, affirmed a decision made by the Victorian Supreme Court in favour of a taxpayer regarding the application of the “land rich provisions” under Ch 3 of the Duties Act 2000 (Vic) in relation to a stapling transaction in October 2005 of a property trust.
The Supreme Court had found a transitional provision applied to exclude the acquisition. The majority of the Court of Appeal affirmed that decision and dismissed the Commissioner’s appeal.
However, the Court of Appeal unanimously affirmed the Supreme Court’s decision that was in favour of the Commissioner in relation to a second property trust which was involved in a similar stapling transaction. The Supreme Court held the transitional provision did not apply. Accordingly, the taxpayer’s appeal in this matter was refused.
(Comr of State Revenue v Australand Investments Pty Ltd [2012] VSCA 152, Victorian Court of Appeal, Maxwell P, Hansen JA, Almond AJA, 13 July 2012.)
[LTN 134, 13/7]