Coal of Queensland Pty Ltd v Innovation and Science Australia

Coal of Queensland Pty Ltd sought judicial review of a decision of the Administrative Appeals Tribunal that affirmed a decision of the Board of Taxation that Coal of Queensland was not entitled to a research and development tax offset. Coal of Queensland held an exploration permit for coal and had conducted a series of activities to investigate the nature and economic viability of mining coal in the area. The Tribunal found that the activities were not "core R&D activities" within the meaning of s 355-25(1) of the Income Tax Assessment Act 1997 (Cth), and that the exclusion in s 355-25(2)(b) applied. The Tribunal also found that the activities were not "supporting R&D activities" within s 355-30. Coal of Queensland argued that the Tribunal made findings for which there was 'no evidence' and that the Tribunal applied the wrong legal test. The Full Court dismissed the appeal and held that the Tribunal's decision was correct. The Court found that the Tribunal's findings were open on the evidence and that the Tribunal applied the correct legal test. The Court also found that the Tribunal's reasons were sufficient and that it made findings on all material questions of fact.

The Full Court granted Coal of Queensland leave to amend its notice of appeal and ordered that the further amended notice of appeal be filed and served forthwith. The Court also ordered that Coal of Queensland pay the respondent's costs of the appeal, as agreed or taxed. The Court's decision is final and binding on the parties.