In a decision dated 29 June 2012 (but released by the AAT on 11 January 2013), the AAT has dismissed an appeal by taxpayers concerning the Commissioner’s decision regarding the date of GST deregistration of an entity operated by the taxpayers.
The facts are the same as those in Yacoub v FCT [2012] FCA 678. The matter broadly concerned husband and wife taxpayers who through a separate entity entered into an agreement with a third party to develop and construct a real estate project. The taxpayers appealed to both the Federal Court and the AAT for a review of the Commissioner’s decision in relation to GST on the real estate project.
- The appeal to the Federal Court concerned whether the taxpayers were liable for unpaid GST of the third party and depended on whether a partnership existed. The Court found in the Commissioner’s favour and held that a partnership existed.
- The appeal to the AAT concerned the Commissioner’s disallowance of the cancellation of registration of the entity operated by the taxpayers from the date of initial registration for GST (on 27 August 2007). The Commissioner contended that the date of GST registration cancellation should be when the entity had ceased to conduct any enterprise (on 29 June 2009).
Since the outcome of the AAT appeals depended on the resolution of the Federal Court appeals, in relation to the deregistration of the entity, the AAT said it was satisfied that the Commissioner was correct to determine the date of effect of deregistration of the entity as 29 June 2009 rather than 21 August 2007. Accordingly, the taxpayer’s appeal was dismissed, and the Commissioner’s decision regarding the 29 June 2009 GST deregistration date of the entity was upheld.
(AAT Case [2012] AATA 401, Re Yacoub and FCT, AAT, Ref Nos 2011/5139-39, Jagot PM, 29 June 2012 (but released on 11 January 2013).)
[LTN 8, 14/1/13]