Under the first strand of reasoning in FCT v Myer Emporium (1987) 163 CLR 199:

Question

Under the first strand of reasoning in  FCT v Myer Emporium  (1987) 163 CLR 199:

Answer

All gains from commercial transactions entered into by taxpayers who are otherwise in business will be ordinary income.

Answer

A profit from a transaction outside the ordinary course of the taxpayer’s business is likely to be ordinary income if the taxpayer had the intention of profit making by the transaction from the inception of the transaction.

Answer

The receipt of a lump-sum payment that replaces a future income stream will be considered capital, and included in assessable income via the capital gains tax provisions.

Answer

The change in the share ownership of the company was a critical evidentiary factor in establishing that the purpose of the company had changed.

Crowdly

Under the first strand of reasoning in FCT v Myer Emporium (1987) 163 CLR 199:

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