CO129-557-12 Armstrong and Turner v. Estate Duty Commissioner- appeal to Privy Council 18-5-1936 - 2-10-1936 — Page 92

106

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Charge of estate duty on property,

57 & 58 Vict. c. 30, s. 9.

Reimburse- ment of executor.

Raising

estate duty by sale

mortgage or terminable charge.

Payment by limited

owner.

Payment of duty out of "capital money".

Appropria tion of

estate duty. 57 & 58 Vict. c. 30, s. 14.

Disputes.

Parties

bound by accounts as settled.

(2) Every such company, notwithstanding any- thing in any enactment or in its constitution, memo- randum, articles or regulations to the contrary, shall effect registration on payment of the usual registration charges (if any) and in default shall be liable on summary conviction to a fine not exceeding thousand dollars.

one

(3) Every executor who without reasonable excuse omits to get any such shares as aforesaid registered within the time limit aforesaid shall be liable to pay to the Commissioner in addition to the estate duty (if any) a penalty of one thousand dollars, or, at the option of the Commissioner, a penalty equal to the amount of the estate duty (if any) at the rate set out in the applicable Schedule.

14.-(1) A rateable part of the estate duty on an estate, in proportion to the value of any property which does not pass to the executor as such, shall be a first charge on the property in respect of which estate duty is leviable: Provided that the property shall not be so chargeable as against a bona fide purchaser thereof for valuable consideration without notice.

(2) If the rateable part of the estate duty in respect of any property is paid by the executor, it shall where occasion requires be repaid to him by the trustees or owners of the property.

(3) A person authorised or required to pay the estate duty in respect of any property shall, for the purpose of paying the estate duty or raising the amount of the estate duty when already paid, have power, whether the property is or is not vested in him, to raise the amount of such estate duty and any interest and expenses properly paid or incurred by him in respect thereof by the sale or mortgage or a terminable charge on that property or any part there- of.

(4) A person having a limited interest in any property who pays the estate duty in respect of that property shall be entitled to the like charge as if the estate duty in respect of that property had been raised by means of a mortgage to him.

(5) Any money arising from the sale of property comprised in a settlement or held upon trust to lay out upon the trusts of a settlement may be expended in paying any estate duty in respect of property com- prised in the settlement and held upon the same

trusts.

15. (1) In the case of property which does not pass to the executor as such, an amount equal to the proper rateable part of the estate duty may be re- covered by the person, who being authorised or required to pay the estate duty in respect of any property has paid such duty, from the person entitled to any sum charged on such property (whether as capital or as an annuity or otherwise) under a dis- position not containing any express provision to the contrary.

(2) Any dispute as to the proportion of estate duty to be borne by any property or person may be deter- mined upon application by way of summons in the Supreme Court, and where the amount claimed does not exceed one thousand dollars such application shall be made to the Supreme Court in its summary jurisdiction.

(3) Any party from whom a rateable part of estate duty can be recovered under this section shall be bound by the accounts and valuations as settled between the person entitled to recover the same and the Commissioner.