5 Jul 2022
CLEARMONT (QUEENSTOWN) LTD v REDWOOD GROUP LTD [2022] NZHC 1567 [4 July 2022]
- Citation
- [2022] NZHC 1567
- Court
- High Court
Clause 1.4 must be read according to its plain meaning and context to require a binding Inland Revenue ruling that all properties comprising the Five Mile Project (those owned by Gateway as at the settlement date 1 June 2019) were held on capital account as at that date; the court rejected interpretations making the ruling relate to an unspecified future date or only a subset of properties, because there was no mutual understanding the 10-year tainting rule was the sole route to avoid tax and the ordinary meaning and commercial context point to the settlement-date test.