Howth Estate Company v Davis (No. 2)

• Jurisdiction: Ireland
• Judgment Date: 01 January 1936
• Date: 01 January 1936
• Court: Supreme Court (Irish Free State)

[S. C., I.F.S.],

Howth Estate Co

and

Davis (No. 2)

Company "whose business consists mainly in the making of investments, and the principal part of whose income is derived therefrom" - Estoppel.

By s. 33 (1) of the Income Tax Act, 1918. "Where an assurance company carrying on life assurance business, or any company whose business consists mainly in the making of investments, and the principal part of whose income is derived therefrom, or any savings bank or other bank for savings, claims and proves to the satisfaction of the Special Commissioners that, for any year of assessment it has been charged to tax by deduction or otherwise, and has not been charged in respect of its profits in accordance with the rules applicable to Case 1 of Schedule D, the company or bank shall be entitled to the repayment of so much of the tax paid by it as is equal to the amount of the tax on any sums disbursed as expenses of management (including commissions) for that year. Provided that:—(a) Relief shall not be given under this section so as to make the tax paid by the company or bank less than the tax which would have been paid if the profits had been charged in accordance with the said rules." On appeal by the Inspector of Taxes from the High Court's decision in the case stated by the Special Commissioners for the Income Tax Acts that proviso (a) to s. 33 (1) of the Income Tax Act, 1918, did not apply to the Howth Estate Company. Held, that there was no estoppel to prevent the Inspector of...