APPEAL COURT

Taranaki Daily News, Volume LIV, Issue 200, 3 May 1912, Page 5

APPEAL COURT

TAXING AN ANNUITY. By Telegraph—Press Association. Wellington, Last Night. In the Court of Appeal, the Chief Justice (Sir Robert Stout) and Justices Edwards and Cooper sat this afternoon to Wear argument in the case of Levin v. the Commissioner of Taxes. The question for the Court's consideration ia whether the plaintiff, Mrs. Levin, is liable to be assessed for, and to pay income tax in respect of an annuity of £3OOO paid to her pursuant to the will of W. H. Levin, deceased. The contention of plaintiff is that no income tax is payable by her as the recipient of revenue from a trust <yjtate where the trnst estate pays the tax in full upon the properties from which such revenue is derived. The Commissioner of Taxes contends that an unregistered vu»uity, if and so far as it is derived from or constitutes a charge upon land or mortgages, is assessable for income tax. Tho annuity is a charge upon a trust estate, which now consists of moneys invested on mortgage or of oash. Tile trustees in each year have paid the mortgage tax and income tax upon the revenue received otherwise than for mortgages. The annuity is not registered under any Act relating to the registration of deeds or instruments affecting a title of land, except so far as such registration may result from the registration of probate under the Property Law Act or Land Transfer Act. Messrs. M. Myers and W. H. D. Bell appear for the plaintiff and "<<> Solicitor-General for the Commissioner. Argument was not concluded when the Court rose.