STEP-GRANDCHILDREN

New Zealand Times, Volume XLVII, Issue 10976, 11 August 1921, Page 2

STEP-GRANDCHILDREN

RIGHTS UNDER. SUCCESSION. APPEAL FROM”DEATH DUTY. If a widow, leaving property to the grandchildren of her deceased husband by a former wife, are such grandchildren to be treated as successors, for the purpose of succession duty, or, are they to bo treated as grandchildren of the deceased widow ? This question was submitted for the optimum of the Supreme Court yesterday in a case in which the parties were Dr. Phillip Oswald Andrew, of Ohaewai, who was the appellant, and the Commissioner of Stamp Duties, who was joined to the issue as respondent. The case was heard before fiis Honour Mr Justice Sim, Acting-Chief Justice. Mr P. B. Cooks and Mr T. C. A. Hislop appeared for the appellant, and Mr W. C. MacGregor, K.C. (-Solicitor-General), for the Commissioner. DETAILS OF THE WILL. On January 4th, 1920, Emily Sarah Andrew, late of' Wellington, widow, died, probate of her will being granted to the appellant. The residue of the estate was to be divided equally -between her several step-grandchildren, being the . grandchildren of her late husband, Rev. John Chapman Andrew. The grandchildren were in, no way related by blood to the deceased. The residue amounted to .£45,960 16s lOd. The succession duty i was assessed at <£4596 Is Bd, being at the rate of 10 ppr cent. The appellant obj ected to the assessment, on the ground that, in the Death Duties Act, unless a contrary intention appeared, "child includes a step-child.” and the beneficiaries to the present will ; should have been treated as grandchildren, within the meaning of the Finance Act, 1915, and the duty assessed at 2 per cent. The Solicitor-General argued that the statute gave power to the appellant to bring himself within the exemption; it was not for the Crown to show that they did not come within it. , His Honour reserved judgment.