New Zealand Case Law: Decisions & Judgments | LexChat

Topic

Base price adjustment

Legal area

Court

1 Jun 2017

COMMISSIONER OF INLAND REVENUE v FUGLE [2017] NZCA 230

Citation

[2017] NZCA 230
Court

Court of Appeal

A crediting of the assigned debt to the respondent's shareholder current account in 2005 did not constitute the final payment bringing the financial arrangement to maturity because the full amount was not unconditionally available to the respondent; thus no base price adjustment was triggered, and the Commissioner was precluded from advancing an alternative spreading-method argument not disclosed in the statement of position under s 138G.
25 Aug 2016

FUGLE v COMMISSIONER OF INLAND REVENUE [2016] NZHC 1997

Citation

[2016] NZHC 1997
Court

High Court

Crediting the appellant's current account in 2005 was a retrospective accounting recognition and did not constitute a payment because no sum was placed unreservedly at the appellant's disposal and there was no company action (or shareholder assent) effecting a payment; accordingly the financial arrangement had not matured in 2005 and no base price adjustment was triggered; the Authority erred in excluding the accountant's historical accounting records which supported that position.