Reemark

The case of *Reemark* concerned a dispute between the applicant, Reemark, and the respondent, the Commissioner of Taxation. The applicant sought to have a notice of assessment issued by the Commissioner set aside. The matter came before Nancarrow J in the Federal Court of Australia.

The primary legal issue before the Court was whether the Commissioner had acted *ultra vires* in issuing the notice of assessment. Specifically, the applicant contended that the Commissioner lacked the statutory authority to issue the assessment at the time it was issued, arguing that the assessment was premature.

Nancarrow J considered the relevant provisions of the *Income Tax Assessment Act 1936* (Cth) and the *Income Tax Assessment Act 1997* (Cth) governing the issuance of assessments. His Honour found that the Commissioner's power to issue an assessment was contingent upon the lodgement of a tax return or the Commissioner forming an opinion that a return was required but not lodged. The Court determined that, on the facts presented, the conditions precedent for the issuance of the assessment had not been met at the time the notice was issued, rendering the Commissioner's action beyond his statutory power.

Consequently, Nancarrow J ordered that the notice of assessment issued by the Commissioner of Taxation be set aside.