Lord Greene MR discussed the meaning of the word ‘fund’: ‘The word ‘fund’ may mean actual cash resources of a particular kind (e.g. money in a drawer or a bank), or it may be a mere accountancy expression used to describe a particular category which a person uses in making up his accounts. The words ‘payment out of’ when used in connection with the word ‘fund’ in its first meaning connote actual payment e.g. by taking the money out of the drawer or drawing a cheque on the bank. When used in connection with the word ‘fund’ in its second meaning they connote that, for the purposes of the account in which the fund finds a place, the payment is debited to that fund, an operation which of course has no relation to the actual method of payment or the particular cash resources out of which the payment is made . . A fund in the second category is merely an accountancy category. It has a real existence in that sense, but not in the sense that a real payment can be made out of it as distinct from being debited to it.’
Judges:
Lord Greene MR
Citations:
[1942] 2 KB 228
Cited by:
Appeal from – Allchin v Coulthard HL 1943
Affirmed. . .
Cited – Scottish Widows Plc v Revenue and Customs SC 6-Jul-2011
The taxpayer insurance company had transferred sums from accounts designated as Capital Reserves. The Revenue said that these were properly part of the profit and loss accounts for the respective tax years, and chargeable receipts.
Held: The . .
Lists of cited by and citing cases may be incomplete.
Local Government
Updated: 04 May 2022; Ref: scu.441624
