Income Tax Assessment Act 1997
CHAPTER 3
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SPECIALIST LIABILITY RULES
PART 3-1
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CAPITAL GAINS AND LOSSES: GENERAL TOPICS
Division 115
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Discount capital gains and trusts
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net capital gains
Subdivision 115-A
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Discount capital gains
What is a discount capital gain?
SECTION 115-34
Further special rule about time of acquisition for certain replacement-asset roll-overs
115-34(1)
This section applies if:
(a) a *CGT event happens to your *share in a company; and
(b) at the time of the CGT event, you had owned the share for less than 12 months; and
(c) you *acquired the share as a replacement asset for:
Sections 115-25 and 115-40 apply as if you had *acquired the *share at least 12 months before the *CGT event. Application of tests about the company's assets 115-34(3)
For each asset mentioned in subparagraph (1)(c)(i), subsections 115-45(4) and (6) apply as if the company had *acquired that asset when you acquired it. 115-34(4)
For each asset mentioned in subparagraph (1)(c)(ii), subsections 115-45(4) and (6) apply as if the company had *acquired that asset when you acquired your interests in it. 115-34(5)
For each asset mentioned in subparagraph (1)(c)(iii), subsections 115-45(4) and (6) apply as if the company had *acquired that asset when the trust acquired it. Relationship with Subdivision 109-A 115-34(6)
This section has effect despite Subdivision 109-A (which contains rules about the time of acquisition of CGT assets).
View history note
Hide history noteThis section applies if:
(a) a *CGT event happens to your *share in a company; and
(b) at the time of the CGT event, you had owned the share for less than 12 months; and
(c) you *acquired the share as a replacement asset for:
(i) a *replacement-asset roll-over under Subdivision 122-A (disposal of assets by individuals or trustees to a wholly-owned company) for which you *disposed of a *CGT asset, or all the assets of a *business, to the company; or
(ii) a replacement-asset roll-over under Subdivision 122-B (disposal of assets by partners to a wholly-owned company) for which you disposed of your interests in a CGT asset, or your interests in all the assets of a business, to the company; or
Application of tests about when you acquired the share 115-34(2)
(iii) a replacement-asset roll-over under Subdivision 124-N (disposal of assets by trusts to a company) for which a trust of which you were a beneficiary disposed of all of its CGT assets to the company.
Sections 115-25 and 115-40 apply as if you had *acquired the *share at least 12 months before the *CGT event. Application of tests about the company's assets 115-34(3)
For each asset mentioned in subparagraph (1)(c)(i), subsections 115-45(4) and (6) apply as if the company had *acquired that asset when you acquired it. 115-34(4)
For each asset mentioned in subparagraph (1)(c)(ii), subsections 115-45(4) and (6) apply as if the company had *acquired that asset when you acquired your interests in it. 115-34(5)
For each asset mentioned in subparagraph (1)(c)(iii), subsections 115-45(4) and (6) apply as if the company had *acquired that asset when the trust acquired it. Relationship with Subdivision 109-A 115-34(6)
This section has effect despite Subdivision 109-A (which contains rules about the time of acquisition of CGT assets).
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