SPI PowerNet Pty Ltd v Commissioner of Taxation (No 2)

[2014] FCA 356

FEDERAL COURT OF AUSTRALIA

SPI PowerNet Pty Ltd v Commissioner of Taxation (No 2) [2014] FCA 356

Citation:	SPI PowerNet Pty Ltd v Commissioner of Taxation (No 2) [2014] FCA 356
Parties:	SPI POWERNET PTY LTD v COMMISSIONER OF TAXATION
File number:	VID 330 of 2012
Parties	SP AUSTRALIA NETWORKS (TRANSMISSION) LTD v COMMISSIONER OF TAXATION
File number:	VID 331 of 2012
Judge:	PAGONE J
Date of judgment:	25 March 2014
Catchwords:	COSTS – application for costs on an indemnity basis –Calderbank offer – whether failure to accept offer was unreasonable – where acceptance of offer would have required compromise of public rights and duties by offeree – where proceeding raised complex and novel questions – where offeree had independent expert opinion to support position – whether sufficient to rely upon taxpayer’s burden of proof – overarching obligations to be taken into account in determining whether failure to accept offer unreasonable – reasons of decision maker for failing to accept offer relevant to determining whether failure to accept offer unreasonable – question of whether failure to accept offer unreasonable is to be determined at point in time at which offer was open for acceptance – court not to take into account matters arising at a later date which could not reasonably have borne upon decision maker’s state of mind in considering offer.
Legislation:	Federal Court of Australia Act 1976 (Cth) s 37M, 37N
Cases cited:	Clark v Federal Commissioner of Taxation (2010) 83 ATR 555, [120], [160] Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2) (2005) 13 VR 435, 441 NMFM Property Pty Ltd v Citibank Ltd (No II) (2001) 109 FCR 77 Software AG (Australia) Pty Ltd v Racing and Wagering Western Australia (2009) 175 FCR 121, 138 [82]
Date of hearing:	25 March 2014
Date of last submissions:	25 March 2014
Place:	Melbourne
Division:	GENERAL DIVISION
Category:	Catchwords
Number of paragraphs:	11
Counsel for the Applicant:	Mr M Flynn
Solicitor for the Applicant:	Deloitte Lawyers Pty Ltd
Counsel for the Respondent:	Mr E Wheelahan
Solicitor for the Respondent:	Maddocks Lawyers

IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY
GENERAL DIVISION	VID 330 of 2012

BETWEEN:	SPI POWERNET PTY LTD Applicant
AND:	COMMISSIONER OF TAXATION Respondent

JUDGE:	PAGONE J
DATE OF ORDER:	25 MARCH 2014
WHERE MADE:	MELBOURNE

THE COURT ORDERS THAT:

1.The respondent pay the costs of the applicant on the usual basis.

Note:Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY
GENERAL DIVISION
VID 331 of 2012
BETWEEN:	SP AUSTRALIA NETWORKS (TRANSMISSION) LTD Applicant
AND:	COMMISSIONER OF TAXATION Respondent
JUDGE:	PAGONE J
DATE OF ORDER:	25 MARCH 2014
WHERE MADE:	MELBOURNE

THE COURT ORDERS THAT:

1. The respondent pay the costs of the applicant on the usual basis.

Note:Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY

GENERAL…