INCOME TAX

Hawera & Normanby Star, Volume XLI, Issue XLI, 5 July 1921, Page 5

INCOME TAX

APPEAL FOR ASSISTANCE

IMPORTANT DISCUSSION

(BY TELEGRAPH —PP.ES? ASSOCIATION.) WELLINGTON, July 4. Judgment was given to-day by the '--Court of Appeal in a case m which " Wright Stephenson and Co. appealed raeainst'the assessment for the purposes .'of income tax of the company's contribution to its pensions arid benevolent "justices Sim and Salmond found that, • despite the company's good intentions, it was impossible to escape the conclusion that the sum in .question was part of the assessable income of the company within the meaning of section 85 <of the Land and Tiuornc-tax Act, 1916. A system of profit-sharing in any manner affected the fundamental principle -that the company must account for an^ -nay tax on the whole of its profits. Mr Justice Stringer dissented, holcl—tW that*the amomii; pnid by the com•nany was port of its expenditure. _ The assessment of Ilio Commissioner -of Taxes wa? confirmed nnd the appeal 'was 'dismissed with cost*..