Subject
NAVIGATION AND SHIPPING: COMMONWEALTH IMMUNITY FROM STATE LAWS
PURCHASE OF MERCHANT VESSEL BY COMMONWEALTH: WHETHER COMMONWEALTH SUBJECT TO STATE STAMP DUTY ON TRANSFER: WHETHER COMMONWEALTH LIABLE TO PAY TRANSFER FEE PAYABLE TO REGISTRAR OF SHIPPING: WHETHER DECLARATION OF OWNERSHIP SHOULD BE OBTAINED
Key Legislation
MERCHANT SHIPPING ACT 1894 (IMP.)
Date
Client
The Secretary, Department of the Navy
The Commonwealth has purchased a steam screw yacht Adele registered at Port Adelaide.
The Collector of Customs, South Australia, has raised the following points in connection with the transfer of the vessel to the Commonwealth:
- Should the Commonwealth Government pay stamp duty on the bill of sale?
- Can the transfer fee be waived ?
- Should a declaration of ownership be obtained from the Minister for Defence?
The Naval Secretary asks for my advice on the points raised.
- As regards stamp duty, in my opinion the Commonwealth is under no obligation to pay stamp duty of a State upon the registration of the transfer of a vessel to the Commonwealth: D'Emden v. Pedder 1 C.L.R.91.
- As regards the transfer fee of 30s payable to the Registrar of Shipping for the transfer of the vessel, this fee is, I understand, payable under the Merchant Shipping Act, and that it becomes the property of the Commonwealth. Seeing that the vessel in question is not excluded from the provisions of the Merchant Shipping Act, I see no reason why this fee should not be paid on the transfer of the vessel to the Commonwealth.
- In my opinion a declaration of ownership should be obtained from the Minister of State for Defence.
[Vol. 14, p. 104]