Jupiters Limited ACN 010 741 045 v Deputy Commissioner of Taxation

FEDERAL COURT OF AUSTRALIA
Jupiters Limited ACN 010 741 045 v Deputy Commissioner of Taxation [2002] FCA 125
JUPITERS LIMITED ACN 010 741 045 v DEPUTY COMMISSIONER OF TAXATION
Q 161 OF 2000
DOWSETT J
22 FEBRUARY 2002
BRISBANE

IN THE FEDERAL COURT OF AUSTRALIA

QUEENSLAND DISTRICT REGISTRY

Q 161 OF 2000

BETWEEN:

JUPITERS LIMITED ACN 010 741 045
APPLICANT

AND:

DEPUTY COMMISSIONER OF TAXATION
RESPONDENT

JUDGE:

DOWSETT J

DATE OF ORDER:

22 FEBRUARY 2002

WHERE MADE:

BRISBANE

THE COURT ORDERS THAT:
1. The applicant pay the respondent’s costs of the proceedings, including reserved costs.
Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

IN THE FEDERAL COURT OF AUSTRALIA

QUEENSLAND DISTRICT REGISTRY

Q 161 OF 2000

BETWEEN:

JUPITERS LIMITED ACN 010 741 045
APPLICANT

AND:

DEPUTY COMMISSIONER OF TAXATION
RESPONDENT

JUDGE:

DOWSETT J

DATE:

22 FEBRUARY 2002

PLACE:

BRISBANE

REASONS FOR JUDGMENT

I have previously delivered judgment concerning the substantive issues raised in this matter. That judgment was in favour of the respondent, and it is accepted by the applicant that the respondent should have an order for its costs. However it has been submitted that the costs incurred in relation to subpoenas issued at the instigation of the respondent and a notice to admit ought not be included in that award. The applicant submits, in effect, that those steps did not contribute meaningfully to the outcome of the hearing. In my view that is a matter properly left to the taxing officer.
The order for costs will be that the applicant pay the respondent’s costs of the proceedings, including reserved costs.

I certify that the preceding two (2) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice Dowsett.

Associate:
Dated: 22 February 2002

Counsel for the Applicant:

Mr J Logan SC

Mr D Marks

Solicitor for the Applicant:

Corrs Chambers Westgarth

Counsel for the Respondent:

Mr R Edmonds

Mr P Fraser

Solicitor for the Respondent:

Australian Government Solicitor

Date of Hearing:

17 & 18 September 2001

Dates of Written Submissions:

11 & 14 January 2002

Date of Judgment:

22 February 2002

CaseChat Overview and Summary

The case of Jupiters Limited ACN 010 741 045 versus the Deputy Commissioner of Taxation arose from a dispute over the taxation treatment of certain payments made by the applicant to a gaming machine supplier. The applicant, a casino operator, sought a review of the decision by the respondent, the Deputy Commissioner of Taxation, which found that the payments were subject to goods and services tax (GST). The matter was heard in the Federal Court of Australia.

The central legal issue before the court was whether the payments made by the applicant to the gaming machine supplier were subject to GST under the GST Act. Specifically, the court had to determine whether these payments constituted supplies of goods or services for the purposes of the GST Act. The applicant argued that the payments were not supplies of goods or services and, therefore, should not be subject to GST. The respondent, on the other hand, contended that the payments were indeed supplies and thus taxable.

The court considered the nature of the payments and the relationship between the parties. It examined whether the payments were made in consideration for a supply of goods or services. The court concluded that the payments were not made in consideration for the supply of goods or services but rather as payments for the use of gaming machines. Consequently, the court found that the payments were not subject to GST under the GST Act. The court also considered the broader economic purpose of the GST and found that the payments did not fall within the scope of the Act. The court's decision was that the applicant was not liable to pay GST on the payments in question. In addition to its ruling, the court ordered that the applicant pay the respondent's costs of the proceedings, including reserved costs.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established

IN THE FEDERAL COURT OF AUSTRALIA
QUEENSLAND DISTRICT REGISTRY	Q 161 OF 2000

BETWEEN:	JUPITERS LIMITED ACN 010 741 045 APPLICANT
AND:	DEPUTY COMMISSIONER OF TAXATION RESPONDENT
JUDGE:	DOWSETT J
DATE OF ORDER:	22 FEBRUARY 2002
WHERE MADE:	BRISBANE

JUDGE:	DOWSETT J
DATE:	22 FEBRUARY 2002
PLACE:	BRISBANE

Counsel for the Applicant:	Mr J Logan SC Mr D Marks
Solicitor for the Applicant:	Corrs Chambers Westgarth
Counsel for the Respondent:	Mr R Edmonds Mr P Fraser
Solicitor for the Respondent:	Australian Government Solicitor
Date of Hearing:	17 & 18 September 2001
Dates of Written Submissions:	11 & 14 January 2002
Date of Judgment:	22 February 2002