Taxation Ruling IT 2235A - Addendum - Income tax : 'Curran' type tax avoidance scheme - application of section 6BA



Ruling: Taxation Ruling IT 2235 deals with the decision of the Federal Court of Australia in Grant v FC of T 86 ATC 4413; 17 ATR 724. The Federal Court dismissed the taxpayer's appeal in a unanimous decision, thereby confirming that section 6BA of the Income Tax Assessment Act 1936 (the Act), with effect from 16 August 1977, applies to a 'Curran' type tax avoidance scheme so as to deny any deduction otherwise allowable under subsection 51(1) of the Act. The High Court in John v FCT 89 ATC 4101; (1989) 20 ATR 1, has since overruled the earlier decision of that Court in Curran v FC of T 74 ATC 4296; (1974) 5 ATR 61, on the basis that the earlier decision was erroneous. Commissioner of Taxation 15 December 1994 BO CNN J36/354/1






Related rulings: IT 2235
Case references: Grant v FC of T 86 ATC 4413 17 ATR 724