The case discusses the “restructuring" of a contract between an Australian subsidiary (taxpayer) and its Swiss parent for the sale of copper concentrate of a mine located in Cobar, New South Wales, Australia, by the Australian tax administration. The decision discusses the recharacterization of transactions in light of the Australian domestic law as well as the OECD Transfer Pricing Guidelines applicable to the case (i.e., the 1995 Guidelines), also considering the previous decisions in the Australian case Chevron and the Canadian case Cameco. In the end, the taxpayer succeeded in Court to defend form and substance of the intra-group agreements.
