CHAPTER 3
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SPECIALIST LIABILITY RULES
PART 3-45
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RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS
Division 328
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Small business entities
History
Div 328 (heading) substituted by
No 80 of 2007
, s 3 and Sch 3 item 1, applicable in relation to the 2007-08 income year and later income years. The heading formerly read:
Division 328
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STS taxpayers
Div 328 inserted by No 78 of 2001.
Subdivision 328-G
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Restructures of small businesses
History
Subdiv 328-G inserted by No 18 of 2016, s 3 and Sch 1 item 1, applicable to:
(a) the transfer of a depreciating asset if the balancing adjustment event arising from the transfer occurs on or after 1 July 2016; or
(b) the transfer of trading stock or a revenue asset if the transfer occurs on or after 1 July 2016; or
(c) the transfer of a CGT asset (other than a depreciating asset, trading stock or a revenue asset) if the CGT event arising from the transfer occurs on or after 1 July 2016.
Former Subdiv 328-G repealed by No 80 of 2007, s 3 and Sch 3 item 86, applicable in relation to the 2007-08 income year and later income years. Subdiv 328-G formerly read:
Subdivision 328-G
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Entering and leaving the STS
SECTION 328-430 What this Subdivision is about
Eligible taxpayers have a choice as to whether to enter the STS.
The rules for entering and leaving the STS are set out in this Subdivision.
Operative provisions
SECTION 328-435 Entering the STS
328-435
You are an
STS taxpayer
for an income year if:
(a)
you are eligible to be an *STS taxpayer for that year (see Subdivision 328-F); and
(b)
you notify the Commissioner, in the *approved form, of your choice to become such a taxpayer for that year.
SECTION 328-440 Leaving the STS
328-440(1)
You continue to be an
STS taxpayer
for each later income year unless:
(a)
you notify the Commissioner, in the
*
approved form, of your choice to stop being an STS taxpayer; or
(b)
you are not eligible to be an STS taxpayer for that later year (see Subdivision 328-F).
328-440(2)
If you are not eligible to be an STS taxpayer for that later year, you must notify the Commissioner, in the *approved form, of that fact.
Restriction on re-entry
328-440(3)
If you
choose
to stop being an *STS taxpayer, you cannot again become an STS taxpayer until at least 5 years after the income year that you left the STS.
Note:
If you stop being an STS taxpayer because of increased turnover or because of the value of your depreciating assets, you can become an STS taxpayer for an income year again as soon as you are eligible.
Former Subdiv 328-G inserted by No 78 of 2001.
Consequences of a roll-over under this Subdivision
SECTION 328-450
Small business transfers not to affect income tax positions
328-450(1)
Except as provided by this Subdivision, a transfer of an asset has no direct consequences under the *income tax law if:
(a)
the transfer occurs under a transaction in relation to which section
328-430
applies; and
(b)
a roll-over under this Subdivision is available under that section in relation to the asset.
Example:
If the transfer were a transfer of the asset from a company to a shareholder, it would not be treated as a payment of a dividend under Division
7A
of Part
III
of the
Income Tax Assessment Act 1936
.
328-450(2)
To avoid doubt, this section does not affect the application of the *income tax law in relation to:
(a)
anything that happens in relation to the asset that does not directly relate to the transfer; or
(b)
the ownership of the asset at any time.
History
S 328-450 inserted by No 18 of 2016, s 3 and Sch 1 item 1, applicable to:
(a) the transfer of a depreciating asset if the balancing adjustment event arising from the transfer occurs on or after 1 July 2016; or
(b) the transfer of trading stock or a revenue asset if the transfer occurs on or after 1 July 2016; or
(c) the transfer of a CGT asset (other than a depreciating asset, trading stock or a revenue asset) if the CGT event arising from the transfer occurs on or after 1 July 2016.