Deputy Commissioner of Taxation v Celebrating Pty Ltd

[2006] FCA 791

FEDERAL COURT OF AUSTRALIA

Deputy Commissioner of Taxation v Celebrating Pty Ltd [2006] FCA 791

DEPUTY COMMISSIONER OF TAXATION v CELEBRATING PTY LIMITED

NSD2548 OF 2005

EMMETT J
17 MARCH 2006
SYDNEY

IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY	NSD2548 OF 2005

BETWEEN:	DEPUTY COMMISSIONER OF TAXATION PLAINTIFF
AND:	CELEBRATING PTY LIMITED DEFENDANT
JUDGE:	EMMETT J
DATE OF ORDER:	17 MARCH 2006
WHERE MADE:	SYDNEY

THE COURT

1. Notes the undertaking of Badawe Aboud in exhibit 2D

BY CONSENT, THE COURT ORDERS THAT:

2. The winding-up of the defendant be terminated.
3. The defendant pay the costs ordered on 24 February 2006 in the amount of $1077.28 within 28 days.

Note:    Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY	NSD2548 OF 2005

BETWEEN:	DEPUTY COMMISSIONER OF TAXATION PLAINTIFF
AND:	CELEBRATING PTY LIMITED DEFENDANT

JUDGE:	EMMETT J
DATE:	17 MARCH 2006
PLACE:	SYDNEY

REASONS FOR JUDGMENT

1. Before the Court is an application for the termination of the winding-up of Celebrating Pty Limited (‘the Company’).  The Company was ordered to be wound-up on 24 February 2006 by a Deputy Registrar, on the application of the Deputy Commissioner of Taxation (‘the Commissioner’).

2. The Company was incorporated in June 2003 and has carried on business since that time.  Until November 2005, the Company was represented by an accountant whose address was the registered office of the Company.  The evidence indicates that the Commissioner made demand for payment of a debt due under the Income Tax Assessment Act 1997 (Cth).  That demand was delivered to the former registered office of the Company.

3. In November 2005, the Company retained a new accountant, Mr Harold Maksoudian, and the registered office of the Company was changed to its principal place of business, with effect from 25 November 2005.

4. The application to wind-up the Company was served at the Company’s registered office.  However, the sole director of the Company somewhat foolishly decided that he would wait until the return day of the application before paying the debt due to the Commissioner.  He says that he misread the date, believing that the return day was 28 February 2006 and not 24 February 2006.

5. The evidence indicates that the Company’s business is profitable and that it is solvent.  Arrangements have been put in place for the Commissioner’s debt to be paid in full and for the costs of the liquidator to be paid.

6. In the circumstances, I consider that it is appropriate to accede to the Company’s application for the winding-up to be terminated.

I certify that the preceding six (6) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice Emmett.

Associate:

Dated:             26 June 2006

Solicitor for the Applicant:	Deputy Commissioner of Taxation
Solicitor for the Director of the Defendant:	The Argyle Partnership
Date of Hearing:	17 March 2006
Date of Judgment:	17 March 2006