In a decision handed down on 15 October 2012, but only just released by the NSW District Court, a Deputy Commissioner has been successful in obtaining summary judgment against a taxpayer for tax debts totalling around $331,000 (including administrative penalties and GIC).
The Commissioner sought summary judgment following the taxpayer’s failure to pay income tax for the years ended 1999 and 2001, shortfall penalties for the years ended 2001 to 2003, and subsequent GIC. The Court noted the taxpayer’s defence was one by way of non-admission; however, it said that was not a defence to the conclusive nature of s 177(1) of the ITAA 1936. It also noted that the self-represented taxpayer did not appear before it.
The Court accepted the Commissioner’s submission that the taxpayer could not in the proceedings dispute the correctness of the amounts of income tax, administrative penalties and shortfall interest stated in the relevant notices. In conclusion, the Court was satisfied the taxpayer was indeed indebted in the amount sought by the Commissioner. Therefore, it granted summary judgment in favour of the Commissioner.
(DCT v Zerafa [2012] NSWDC 227, NSW District Court, Gibson DCJ, 15 October 2012.)
[LTN 15, 23/1/13]