These regulations may be cited as the Co-operative Dairy Companies Income Tax Regulations 1955.

These regulations apply with respect to income tax for the year of assessment commencing on 1 April 1956 and for every subsequent year.

In these regulations, unless the context otherwise requires,—

Expressions used in these regulations, unless the context otherwise requires, have the same meanings as in the Act.

For the purposes of these regulations the amount of the trading balance of any company at the end of any financial year shall be calculated as the amount which in the opinion of the Commissioner is the sum of the following amounts:

For the purposes of these regulations the amount of the deductible trading balance of any company for any financial year shall be calculated as the amount which in the opinion of the Commissioner is the sum of the following amounts:

For the purposes of these regulations the net value of the trading assets of a company shall be calculated by ascertaining the aggregate cost of those trading assets and deducting therefrom the amount of any depreciation properly allowable thereon under the Act and the amount of any mortgage, charge, or liability owing in respect of the purchase or acquisition of any of those trading assets, not being an amount owing to any trading bank:

For the purposes of these regulations the Commissioner may from time to time—

Where the Commissioner is satisfied that any asset of a company is a dual purpose asset, he may for the purposes of these regulations treat the asset as being—

Where the Commissioner has under regulation 5 classified any amount as assessable income of a company, the Commissioner may, on the application of the company, allocate the amount to such 1 or more income years as the Commissioner thinks fit, and the amount so allocated to any income year shall be deemed to be assessable income or (in the case of the 1997–98 or any subsequent income year) gross income derived by the company during that income year.

Where there is paid to a shareholder of a co-operative dairy company—

the Commissioner may classify as gross income (other than a dividend) of the shareholder the amount of the excess or such part of it as the Commissioner determines.

Any person affected by any decision made by the Commissioner under section 146 of the Act or under these regulations may object to that decision by delivering or posting to the Commissioner a written notice of objection, stating shortly the grounds of the objection, within 1 month after the date on which notice of the decision has been given.

No notice of objection given after the time prescribed in subclause (1) shall be of any force or effect unless the Commissioner in his discretion accepts the objection and gives notice to the objector accordingly.

The Commissioner shall consider all such objections, and may alter any decision objected to; but, if an objection is not allowed by the Commissioner, the objector may, within 1 month after the date on which notice of the disallowance is given to him by or on behalf of the Commissioner, by notice in writing to the Commissioner require that the objection be referred to the Co-operative Dairy Companies Appeal Authority, and in that event the objection shall be heard and determined by the Appeal Authority, which shall for that purpose have all the powers and functions of the Commissioner in making the decision, and the decision of the Appeal Authority shall take effect as if it were the decision of the Commissioner.

For the purposes of these regulations there is hereby established an appeal authority to be called the Co-operative Dairy Companies Income Tax Appeal Authority.

The Appeal Authority shall consist of 3 members to be appointed by the Governor-General to hold office during his pleasure, of whom—

If any member of the Appeal Authority dies or resigns or is removed from office the vacancy so created shall be filled in the manner in which the appointment to the vacant office was originally made.

In the absence from any meeting of the Appeal Authority of any member who is employed in the service of the Crown, any officer of his department having authority to act in his place during his absence may attend the meeting in his stead, and while so attending shall be deemed to be a member of the Appeal Authority and, if he is an officer of the Treasury, to be the Chairman of the Appeal Authority.

The Appeal Authority shall, within the scope of its jurisdiction, be deemed to be a commission of inquiry under the Commissions of Inquiry Act 1908, and, subject to the provisions of these regulations, all the provisions of that Act except sections 11 and 12 (which relate to costs) shall apply accordingly.

For the purpose of considering any objection under these regulations, the Appeal Authority shall have free access to all records under the control of the Commissioner relating to the objector.

On the hearing and determination of any objection under these regulations the burden of proof shall be on the objector, and the Appeal Authority may receive such evidence as it thinks fit, whether or not it would be admissible in a court of law.

Subject to these regulations, the Appeal Authority may determine its own procedure.

The decision of a majority of the members of the Appeal Authority on any matter shall be the decision of the Authority.

Every decision of the Appeal Authority shall be final and conclusive.

There shall be paid out of money appropriated by Parliament for the purpose to the member of the Appeal Authority appointed under regulation 10(2)(c), if not a Crown employee, remuneration by way of fees, salary, or allowances and travelling allowances and expenses in accordance with the Fees and Travelling Allowances Act 1951, and the provisions of that Act shall apply accordingly as if that member were a member of a statutory board within the meaning of that Act.