15 Aug 2007
GLENHARROW HOLDINGS LIMITED V THE COMMISSIONER OF INLAND REVENUE CA CA192/05
- Citation
- openlaw-3252eecb_f7dd_43f0_a01c_fb083633db51.pdf
- Court
- Court of Appeal
Although the sale and vendor finance were genuine on their face, objectively the vendor finance meant Glenharrow did not suffer the economic burden Parliament intended for entitlement to an input tax credit; the arrangement therefore defeated the intent and application of the GSTA under s76 and must be counteracted by adjusting the tax advantage to reflect the sum actually economically borne (deposit plus subsequent repayments), giving the mining licence an effective value of $290,000 for GST adjustment purposes.