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Harare High Court
Itayi Madziyire v Tony Makwabarara and Lochinvar Properties and The Registrar of Deeds and Companies
HH 46-11
Case Details
Court
Harare High Court
Date
2 February 2011
Citation
HH 46-11
Neutral Citation
[2011] ZWHH 46
Outcome
unknown
Case Type
Application
Bench
Presiding
GOWORA J
Full Bench
GOWORA J
Areas of Law
Contract LawProperty LawTax Law
Keywords
illegal contractstamp duty evasioncapital gains taxpublic policyex turpi causa
Tags
specific performanceillegal agreementshare saletax evasion
legislation
Statutes Cited
- Stamp Duties Act
- Capital Gains Tax Act
- Income Tax Act
ai analysis
Case Summary
Key Issues
- {"issue_text":"Whether the court can enforce an agreement tainted by illegality where the parties sought to evade tax","issue_type":"law","dispositive":"yes","related_facts":"Both agreements facilitated tax evasion; parties concealed true consideration"}
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background
Facts of the Case
Background
The applicant sought to enforce a share sale agreement by which he purchased 100% shares in Lochinvar Properties. Two conflicting agreements existed: one reflecting the true purchase price of Z$1.8 billion, and a second showing Z$900 million used to reduce stamp duty and capital gains tax. The court found the entire transaction illegal as both agreements facilitated tax evasion.
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