IMPORTANT PROPERTY TAX CASE.

Timaru Herald, Volume L, Issue 4871, 17 June 1890, Page 3

IMPORTANT PROPERTY TAX CASE.

(Bt Tbleoravh.) NAPIEH. Jukb 16. I Captain Pricr, fitting as a board of review under the Prop»rty Apsossmont Act, to day heard a peculiar caso — an objection by Murray Robetta and Co. to an alteration made m their properly tix assessment by thf) commissioner who gavo notice that he would disallow a deduction of a sum of £25,000 which Murray Roberta and Co. claimed to deduct as their debt to tho Bank of Australasia m the colony. Mr Crombio appearo) for the department. The facts wore clear enough, and there wmno dispute as to them. Prior to October, ISBB, Murray Hoberts and Co. drew on their London agents, Sanderson, Murray and Co , three bills for on aggregate amount of £25,000 which wore to be repaid by wool cent to London m the season. The bills were purchased or discounted by tho bank, and the proceeds placed to the credit of Murray Roberts and Co. Thoy contended that the debt was due to the bant us the firm were collaterally liable to the bank, and that they were therefore entitled to deduct the amount. Mr Orombie urged that tbo dobt wns not to the bank, and that Murray Roberta and Co. had no liability to the bank except m the event of the bills not being honoured at maturity, and that did not entitle tliem to deduct tho £25,000 as a liability within the colony. The case really turned on the interpretation of sub-section 3 of clause 17 of tho Property Assessment Act, 18S5. Judgment was reEerved.