It has long been debated between liquidators and the Australian Taxation Office whether an action for an unfair preference can be brought by a liquidator of an incorporated association in Queensland.

On 27 April, Jackson J of the Supreme Court of Queensland delivered a judgment stating that no such claim may be brought (Robson & Ors v Commissioner of Taxation[2015] QSC 76).

Although the reasons suggest that His Honour accepted the findings were “counter-intuitive”, His Honour concluded that preference actions are not available to liquidators appointed to incorporated associations in Queensland.

This decision will impact upon the commercially of liquidators accepting appointment to incorporated associations unless and until the legislation is amended.