Bosanac v Federal Commissioner of Taxation: The Future of the Presumptions of Resulting Trust and Advancement

Abstract

This case note examines the decision of the High Court of Australia in Bosanac v Federal Commissioner of Taxation. Part II provides a case summary. Part III considers the future of the presumptions of resulting trust and advancement following Bosanac. Part IV discusses the judicial references in Bosanac to the presumptions being ‘weak’, and analyses whether these were an observation of the current state of the law or represent a change to it. Part V reviews the Court’s clarification of an earlier case concerning the application of the presumption of resulting trust to married couples, Trustees of the Property of Cummins (a bankrupt) v Cummins. The case note concludes that Bosanac is significant because it has paved the way for the future development of the presumptions, developed the law by weakening the presumptions of resulting trust and advancement, and helpfully clarified the effect of Cummins.