The Appeal Panel of the NSW Civil and Administrative Tribunal has affirmed the Commissioner’s decision to assess to duty a Trust Deed on the basis that the Deed comprised a “declaration of trust” over a property, but decided the premium interest component should be remitted.
The taxpayer was assessed to ad valorem duty on a declaration of trust over land. The NSW Administrative Decisions Tribunal, at first instance, held that the Trust Deed constituted a declaration of trust pursuant to s 8(3) of the Duties Act 1997 (NSW). In doing so, it confirmed the duty assessment and interest imposed by the Commissioner. The taxpayer appealed on the grounds that the Tribunal had erred in law and sought leave, if necessary, to extend leave to appeal to the merits of the Tribunal’s decision.
The Appeal Panel concluded the Trust Deed was properly liable to duty under s 8(3) as a declaration of trust over identified property to be vested in the Trustee for the purposes set out in the Deed. However, it found there was a basis in this case to remit the premium component of interest.
(Al-Saeed and Associates Pty Ltd ATF Al-Saeed Education and Welfare Trust v Chief Comr of State Revenue [2014] NSWCATAP 11, NSW Civil and Administrative Tribunal, Appeal Panel, Seiden PM, Block SM, Bennett GM, 7 April 2014.)
[LTN 71, 14/4/14]