The Federal Court has upheld an objection decision made by the Commissioner of Taxation in Aitken v Commissioner of Taxation [2025] FCA 372. Liz Bishop SC appeared with Keni Josifoski for the Commissioner.

The case involved the income tax consequences on the disposal of forestry interests in the AgriWealth 2011 Softwood Timber Project which was the subject of Product Ruling PR 2011/12. The forestry interests included rights to timber as well as rights to carbon sequestration and salinity rights and credits. There was a dispute about the market value of Mr Aitken’s forestry interest; and the identification of the CGT events that were triggered on disposal.

The Court also determined that the Product Ruling PR 2011/12 was not binding on the Commissioner in circumstances where the taxpayer departed from the terms of that ruling.

The judgment may be found here.