APPEAL COURT.

Lyttelton Times, Volume CXXIII, Issue 15919, 3 May 1912, Page 4

APPEAL COURT.

QUESTION OF TAXATION. [Per Puns* Association.] WELLINGTON, May 2. The Court of Appeal, comprising the Chief Justice (Sir Robert Stout) and Justices Edwards and Cooper, sat this afternoon to hear argument in the case of Levin v. the Commissioner of laxes. The question for the Court's consideration is whether the plaintiff, Mrs Levin, is liable to be assessed for and to pav income tax in respect of an animitv of £3OOO paid to her pursuant to the' will of W. H. Levin, deceased. Tho plaintiff's contention is that no income tax is payable by lier as the recipient of revenue from a trust estate where the trjist estate pays a tax in full upon the properties from which such revenue is derived. The Commissioner of TaxcG contends that an unregistered annuity, so far as it is derived from or constitutes a charge upon land or mortgages, is assessable for income tax The annuity is a charge upon a trust estate which now consists of moneys invested on mortgage or of cash. The trustees in each year have paid mortgage tax and income tax uTwn the revenue received otherwise than from mortgages. The anmritv is not registered under any Act relating to registration of deeds or instruments affecting a title to land oxeeot so far as nich registration may result from registration of probate under the Property Law Act or Land Transfer Act. Mr M. Myers and Mr W. IT. r>. Bel! annear for the plrintiff and the Solicitor-General for the Commissioner. Argument was not concluded wiien the Court rose.