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End of attention
The cost base of assets owned by a company that became a CFC after 30 June 1990 is market value of those assets at the time the company became a CFC.
Cost base of asset
A company that became a CFC on 1 March 1993 disposes of an asset on 1 October 1995. The asset was acquired on 1 May 1992.
The asset will be deemed to have been acquired for market value on 1 March 1993 - that is, when the company became a CFC. The capital gain or capital loss is therefore worked out using the change in the asset's value between 1 March 1993 and 1 October 1995.
Last modified: 05 Dec 2006QC 17522