Smith v Commissioner of Inland Revenue - [1989] 1 NZLR 412

Income tax — Assessable income — Profits from sale of land — Taxpayer acquired rural land in 1960 and 1968 applied for and obtained a specified departure to permit residential subdivision — In 1971 physical work on subdivision of land commenced and the first sections were sold — Commissioner of Inland Revenue claimed that the scheme had commenced within 10 years of taxpayer acquiring the land and the profits were assessable for income tax under s 88AA(1)(d) - Whether hearing of application for specified departure amounted to commencement of undertaking of scheme — Land and Income Tax Act 1954, s 88AA(1)(d).