INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)
Where a person has purchased property from another person carrying on timber operations for the purpose of gaining or producing assessable income, so much (if any) of the purchase price as exceeds the sum of:
(a) the amount which, if the property had not been sold, would have been, at the end of the year of income in which the sale took place, the portion of the residual capital expenditure of the vendor attributable to expenditure on that property; and
(b) any part of the purchase price which is included in the assessable income of the vendor in pursuance of subsection 124G(2) ;
shall not, for the purposes of this Subdivision, be included in the expenditure of the purchaser on that property.
This section does not apply where the Commissioner is of opinion that the circumstances are such that it should not apply.