Commissioner of Taxation v Montgomery

[1999] HCA 34
Judgment date
Case number
M86/1998
M87/1998
Before
Gleeson CJ, Gaudron, McHugh, Gummow, Kirby, Hayne, Callinan JJ
Catchwords

Income tax – Income – Income according to ordinary concepts and usage of mankind – Lease incentive payment received by taxpayer relocating premises – Whether income or capital – Whether receipt should be characterised as an incentive to pay greater rent – Whether receipt analogous to lease premium payment – Whether receipt part of profit-making undertaking or scheme – Whether receipt was an ordinary incident of a transaction in the course of the taxpayer's business – Whether receipt must be in the ordinary course of the taxpayer's business.

Words and phrases – "income", "profit", "gain", "profit-making undertaking or scheme".

Income Tax Assessment Act 1936 (Cth), ss 6(1), 25.