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The High Court (French CJ, Gummow, Hayne, Heydon, Crennan, Kiefel and Bell JJ) has now published its reasons for the orders that it made, by majority, on 3 April 2009 that the Tax Bonus for Working Australians Act (No 2) 2009 (Cth) was a valid law of the Commonwealth.

French CJ, Gummow, Crennan and Bell JJ were in the majority, holding that the Tax Bonus Act is a valid law of the Commonwealth.

Hayne and Kiefel JJ held that the Tax Bonus Act is a valid law of the Commonwealth, but only to the extent to which it provides for the payment to a person entitled to a tax bonus of the lesser of the amount of the person's adjusted tax liability for the 2007-08 income year and the amount of the bonus fixed in accordance with the Tax Bonus Act.

Heydon J dissented, holding that the Tax Bonus Act is not a valid law of the Commonwealth..

Pape v FCT [2009] HCA 23 (7 July 2009)

For a copy of the decision, go here

 


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