Earlier this month I posted my analysis and commentary regarding the Federal Court’s interesting decision on third party preferences in Kassem and Secatore v Commissioner of Taxation  FCA 152. You can read my post here.
Unsurprisingly perhaps, the Deputy Commissioner of Taxation has indeed lodged a notice of appeal last week on 20 March 2012. As I mentioned, this case does not involve a large sum of money, but does involve arguments the Deputy Commissioner would want to test further. It will be most interesting to see how the Full Federal Court treats this case on appeal, and the issues it raises. If the argument is run on appeal, as I would expect, I am particularly interested to see the Court’s attitude to the ATO unilaterally reallocating payments received in respect of one tax liability to apply them to a different tax liability – for the Superannuation Guarantee Charge – and then relying upon that reallocation to argue the payments could not be preferences. For a fuller discussion of the case and this issue, see my earlier post, link above.