CGT Determination Number 5

TD 5

Capital Gains: Are intangible improvements caught by subsection 160P(6)?

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FOI status:

1. Subsection 160P(6) is concerned with post 19 September 1985 capital improvements to any pre-CGT asset.

2. Unlike some subsections before it in section 160P, subsection (6) is not confined to land nor to physical improvements such as buildings.

3. Intangible (non-physical) improvements are taken to be improvements of a capital nature for subsection 160P(6).

Example:

Improvements such as council approval to rezone and subdivide land.

Commissioner of Taxation
10 September 1991

References

ATO references:
NO CGT Cell 6

Subject References:
Composite assets;
Intangible improvements

Legislative References:
ITAA 160(6)