B & L Linings Pty Ltd & Anor v Chief Commissioner of State Revenue (No 2) (RD)

The matter involved B & L Linings Pty Ltd and another appellant, appealing against a decision of the Chief Commissioner of State Revenue regarding their liability for pay-roll tax. The dispute centred on whether certain entities were employees or independent contractors during a specific financial year. The case was heard by the Administrative Appeals Tribunal.

The legal issues that the Tribunal had to address included the application of the Jones v Dunkel test to determine the employment status of the individuals in question, and whether the Tribunal had properly considered the evidence provided. Specifically, it was necessary to establish whether the Tribunal had failed to give due consideration to the evidence regarding the nature of the working relationship between the appellants and the individuals in question.

In its reasoning, the Tribunal examined the evidence presented and the application of the principles set out in Jones v Dunkel to determine the employment status of the individuals. The Tribunal concluded that the 36 entities in question were independent contractors rather than employees, as the Tribunal had not given due consideration to the evidence in this regard. Consequently, the Tribunal found that the appeal had merit and required further consideration to assess the appellants' liability for pay-roll tax.

The Tribunal ordered that the appeal be set down for further directions and determined that for the purpose of assessing the appellants' liability for pay-roll tax, the 36 entities were independent contractors engaged by B & L Linings Pty Ltd during the year ended 30 June 2002.