INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART IIIA - CAPITAL GAINS AND CAPITAL LOSSES  

Division 10 - Rights to acquire shares  

SECTION 160ZYK   160ZYK   APPLICATION  
Where -


(a) a person (in this Division referred to as the ``shareholder'' ) holds shares in a company (in this Division referred to as the ``original shares'' );


(b) both of the following subparagraphs apply:


(i) a company (in this paragraph called the ``issuing company'' ) issues to the shareholder rights (in this Division called the ``rights'' ) to acquire shares (in this Division called the ``new shares'' ) in the issuing company or to acquire an option (in this Division called the ``option'' ) to acquire shares in the issuing company;

(ii) either:

(A) the issuing company is the company referred to in paragraph (a); or

(B) the issuing company is, or but for the issue of the rights would be, related to the company referred to in paragraph (a) when the rights are issued; and


(c) the shareholder did not, apart from any operation of subsection 160ZH(9) , pay or give any consideration in respect of the acquisition of the rights,

sections 160ZYL to 160ZYO (inclusive) have effect.


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