The ATO on Fri 12.10.2012, issued a Decision Impact Statement on the decision of the Full Federal Court in LVR (WA) Pty Ltd & Anor v AAT and FCT [2012] FCAFC 90.
In that case, the Full Court allowed the taxpayers’ appeal from a 2011 Federal Court decision concerning their applications for review of the disallowance of objections to various income tax and GST assessments and penalty notices. The case concerned the use by the AAT in its reasons of material taken verbatim and without attribution from the written submissions filed in the Tribunal on behalf of the Commissioner. In essence, the Full Court found the AAT had failed to have proper regard to the taxpayers’ explanation and remitted the matter back to the AAT for reconsideration.
The ATO said it has decided not to seek special leave to appeal to the High Court. It said the decision itself turned on the particular material, submissions and sequence of events before the AAT and the Federal Court. The ATO said the issue will be considered again by the AAT in due course. In addition, the ATO’s view is that the Full Federal Court did not find that the Commissioner breached his model litigant obligation. However, it said the Full Court did refer at length to the extent of the model litigant obligation. Therefore, the ATO said it has reviewed all current appeals to the Federal Court from decisions of the AAT in light of this decision.
[LTN 198, 12/10]