Tax Law Improvement Act (No. 1) 1998 (46 of 1998)
2 CGT (new Parts 3-1, 3-3 and 3-5)
1 Amendment of the Income Tax (Transitional Provisions) Act 1997
2 Before Part 3-45
Insert:
Part 3-1 - Capital gains and losses: general topics
Division 102 - Application of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997
102-1 Application of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997
Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997 (about capital gains and capital losses) apply to assessments for the 1998-99 income year and later income years.
102-5 Working out capital gains and capital losses
General rule
(1) In working out whether you have made a capital gain or a capital loss from a CGT event that happens in relation to a CGT asset in the 1998-99 income year or a later income year, you use only the provisions of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997 (or a provision of an Act that modifies the operation of those Parts) unless a provision of this Part or Part 3-3 of this Act also requires you to use another provision.
Note 1: This means that, for example, in working out your cost base of the asset, you will apply the new law to circumstances that occurred before the 1998-99 income year (except where this Act requires you to use another provision).
Note 2: In most cases, the other provision is a provision of this Act. However, in some cases, other provisions may be relevant (for example, provisions of the Income Tax Assessment Act 1936).
Note 3: Part X of the Income Tax Assessment Act 1936 includes provisions that modify the operation of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997.
Roll-overs
(2) If:
(a) an entity acquired a CGT asset before the start of the 1998-99 income year as part of a transaction or event or series of transactions or events in respect of which there was a same-asset roll-over or replacement-asset roll-over under the Income Tax Assessment Act 1936; and
(b) the entity owned the asset just before the start of that income year; and
(c) a CGT event happens in relation to the asset in that income year or a later one;
the provisions of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997 apply to the asset from the time when the roll-over happened except that the first element of the cost base and reduced cost base of the asset (when the roll-over happened) is the amount the entity is taken to have paid as consideration in respect of the acquisition of the asset under the relevant provision of the Income Tax Assessment Act 1936.
102-15 Applying net capital losses
(1) In working out whether you have a net capital gain for the 1998-99 income year, the amount of any net capital loss for the 1997-98 income year or an earlier income year must be worked out under the Income Tax Assessment Act 1936.
(2) If you had a net capital loss for the 1997-98 income year, or some unapplied net capital loss for either of the 2 preceding income years, under Part IIIA of the Income Tax Assessment Act 1936, it can be carried forward to a later income year to be applied under the Income Tax Assessment Act 1997.
Note: The way in which capital losses can be applied may be affected by other provisions: see section 102-30 of the Income Tax Assessment Act 1997.
(3) If you had a net listed personal-use asset loss for the 1997-98 income year under Part IIIA of the Income Tax Assessment Act 1936, it is taken for the purposes of the Income Tax Assessment Act 1997 to be a net capital loss from collectables for that income year.
102-20 Net capital gains, capital gains and capital losses for income years before 1998-99
For the 1997-98 income year or an earlier income year:
capital gain has the meaning given by Part IIIA of the Income Tax Assessment Act 1936.
capital loss has the meaning given by Part IIIA of the Income Tax Assessment Act 1936.
net capital gain has the meaning given by Part IIIA of the Income Tax Assessment Act 1936.
Division 104 - CGT events
Table of Subdivisions
104-B Use and enjoyment before title passes
104-E Trusts
104-J Reversal of roll-overs
104-K Other CGT events
Subdivision 104-B - Use and enjoyment before title passes
104-15 Use and enjoyment before title passes
A capital gain or capital loss is disregarded if:
(a) you made the capital gain or capital loss for the 1997-98 income year or an earlier income year under Part IIIA of the Income Tax Assessment Act 1936 because of an agreement to which paragraph 160M(3)(d) of that Act applies with another entity in relation to an asset; and
(b) the agreement ends in the 1998-99 income year or a later income year; and
(c) title in the asset does not pass to the other entity when the agreement ends.
Subdivision 104-E - Trusts
104-70 Capital payment before 18 December 1986 for trust interest
(1) This section applies for the purpose of working out the cost base of a unit or an interest you own in a trust if these conditions are satisfied:
(a) CGT event E4 happens in relation to the unit; and
(b) you were taken to have disposed of the unit or interest under section 160ZM of the Income Tax Assessment Act 1936 (the former equivalent of CGT event E4) because of a payment made by the trustee before 18 December 1986; and
(c) some or all of the payment (the non-assessable part) was not included in your assessable income; and
(d) some or all of the non-assessable part (the attributable part) was attributable to a deduction under Division 10C or 10D of Part III of the Income Tax Assessment Act 1936 (about capital works).
(2) The cost base of the unit or interest is also reduced by the attributable part.
104-72 Application to Divisions 10C and 10D of Part III of the Income Tax Assessment Act 1936
Paragraph 104-70(7)(a) applies to deductions under Divisions 10C and 10D of Part III of the Income Tax Assessment Act 1936 (about capital works) in the same way that it applies to deductions under Division 43 of the Income Tax Assessment Act 1997.
Subdivision 104-J - Reversal of roll-overs
104-175 Company ceasing to be member of wholly-owned group after roll-over
(1) This section applies if there was a roll-over under section 160ZZO of the Income Tax Assessment Act 1936 for a disposal of an asset from one company to another company (the transferee).
(2) If CGT event J1 would happen in relation to the roll-over in a situation involving something happening in relation to the transferee, that event does not happen if there would have been no deemed disposal and re-acquisition of the asset by the transferee in that situation under whichever of these provisions would have been relevant for that situation if it had happened before the start of the 1998-99 income year:
(a) section 160ZZOA of that Act; or
(b) paragraphs 160ZZO(1)(g) and (h) of that Act.
(3) In working out whether subsection (2) affects you, take into account provisions of other Acts that amended Part IIIA of the Income Tax Assessment Act 1936 and that affect the situation referred to in that subsection.
Subdivision 104-K - Other CGT events
104-210 Bankrupt pays amount in relation to debt
Subsection 104-210(1) of the Income Tax Assessment Act 1997 applies to a net capital loss mentioned in subsection 160ZC(4A) of the Income Tax Assessment Act 1936 in the same way as it applies to a net capital loss referred to in subsection 102-5(2) of the Income Tax Assessment Act 1997.
Note: This provision covers the case where the net capital loss was for the 1997-98 income year or an earlier one and the payment in respect of the debt was made in the 1998-99 income year or a later one.
Division 108 - CGT assets
Table of Subdivisions
108-A What a CGT asset is
108-B Collectables
108-D Separate CGT assets
Subdivision 108-A - What a CGT asset is
108-5 CGT assets
If:
(a) an entity owned a thing that is not a form of property before 26 June 1992 and at all times from that day to the start of the entity's 1998-99 income year; and
(b) that thing was not, before 26 June 1992, an asset as defined in section 160A of the Income Tax Assessment Act 1936;
any capital gain or capital loss the entity makes from the asset is disregarded.
Subdivision 108-B - Collectables
108-15 Sets of collectables
Section 108-15 of the Income Tax Assessment Act 1997 does not apply to a collectable you own that you last acquired before 16 December 1995.
Note: That section has special rules for the separate disposal of collectables that are a set.
Subdivision 108-D - Separate CGT assets
108-75 Capital improvements to CGT assets for which a roll-over may be available
(1) Subsection 108-75(2) of the Income Tax Assessment Act 1997 applies to a roll-over under section 160ZWA of the Income Tax Assessment Act 1936 in the same way that it applies to a roll-over under Subdivision 124-J of the Income Tax Assessment Act 1997.
(2) Subsection 108-75(2) of the Income Tax Assessment Act 1997 applies to a roll-over under section 160ZZF of the Income Tax Assessment Act 1936 in the same way that it applies to a roll-over under Subdivision 124-L of the Income Tax Assessment Act 1997.
(3) Subsection 108-75(2) of the Income Tax Assessment Act 1997 applies to a roll-over under section 160ZZPE of the Income Tax Assessment Act 1936 in the same way that it applies to a roll-over under Subdivision 124-C of the Income Tax Assessment Act 1997.
(4) Subsection 108-75(2) of the Income Tax Assessment Act 1997 applies to a roll-over under section 160ZWC of the Income Tax Assessment Act 1936 in the same way that it applies to a roll-over under Subdivision 124-K of the Income Tax Assessment Act 1997.
Note: This provision covers the case where the roll-over occurred in the 1997-98 income year or an earlier one and the relevant CGT event in the 1998-99 income year or a later one.
108-85 Improvement threshold
Despite section 108-85 of the Income Tax Assessment Act 1997, the Commissioner is entitled to publish the improvement threshold for the 1998-99 income year:
(a) before the beginning of that year; or
(b) within a reasonable time after the beginning of that year.
Division 109 - Acquisition of CGT assets
Table of Subdivisions
109-A Operative rules
Subdivision 109-A - Operative rules
109-5 General acquisition rules
(1) If:
(a) the circumstances specified in the second column of the table in subsection 109-5(2) of the Income Tax Assessment Act 1997 for CGT event E1, E2 or E3 happened in relation to an asset before 12 noon, by legal time in the Australian Capital Territory, on 12 January 1994; and
(b) the trustee that owned the asset just after those circumstances happened also owned it at all times from then until the start of the trustee's 1998-99 income year;
the question whether those circumstances resulted in an acquisition of an asset by the trustee is to be determined under the Income Tax Assessment Act 1936 as in force just before 12 noon, by legal time in the Australian Capital Territory, on 12 January 1994.
(2) The acquisition rule for CGT event E9 (about an entity creating a trust over future property) in the table in subsection 109-5(2) of the Income Tax Assessment Act 1997 does not apply to you as trustee if the agreement to create the trust was made before 12 noon, by legal time in the Australian Capital Territory, on 12 January 1994.
Division 110 - Cost base and reduced cost base
Table of Subdivisions
110-A Cost base
Subdivision 110-A - Cost base
110-35 Incidental costs
Despite subsection 110-35(2) of the Income Tax Assessment Act 1997, expenditure for professional advice about taxation incurred before 1 July 1989 does not form part of the cost base of a CGT asset.
Division 112 - Modifications to cost base and reduced cost base
Table of Subdivisions
112-A General rules
Subdivision 112-A - General rules
112-20 Market value substitution rule
In working out the cost base and reduced cost base of a CGT asset:
(a) that you acquired before 16 August 1989; and
(b) to which paragraph 112-20(2)(b) or (c), or item 5 or 6 in the table in subsection 112-20(3), of the Income Tax Assessment Act 1997 would apply (apart from this section);
disregard subsections 112-20(2) and (3) of that Act.
Note: This section preserves the pre-16 August 1989 position for, among other things, shares or units issued or allotted to you by allowing the market value substitution rule to apply.
Division 118 - Exemptions
Table of Subdivisions
118-A General exemptions
118-B Main residence
118-C Goodwill
Subdivision 118-A - General exemptions
118-10 Interests in collectables
(1) This section applies to a collectable you own that:
(a) is an interest in:
(i) artwork, jewellery, an antique or a coin or medallion; or
(ii) a rare folio, manuscript or book; or
(iii) a postage stamp or first day cover; and
(b) you last acquired before 16 December 1995.
(2) A capital gain or capital loss you make from the interest is disregarded if what you paid or gave to acquire it was $500 or less.
Subdivision 118-B - Main residence
118-195 Exemption - dwelling acquired from deceased estate
(1) This section applies to an entity:
(a) that acquired an ownership interest in a dwelling as trustee of a deceased estate on or before 7.30 pm, by legal time in the Australian Capital Territory, on 20 August 1996; or
(b) to whom an ownership interest in a dwelling passed as a beneficiary in a deceased estate on or before that time.
(2) Item 1 in the table in subsection 118-195(1) of the Income Tax Assessment Act 1997 applies to the entity in relation to the dwelling as if that item required the dwelling to be the deceased's main residence throughout the deceased's ownership period.
(3) Section 118-192 and subsections 118-190(4) and 118-200(4) do not apply to the entity in relation to the dwelling.
Subdivision 118-C - Goodwill
118-260 Business exemption threshold
Despite section 118-260 of the Income Tax Assessment Act 1997, the Commissioner is entitled to publish the business exemption threshold for the 1998-99 income year:
(a) before the beginning of that year; or
(b) within a reasonable time after the beginning of that year.
Division 121 - Record keeping
Table of sections
121-15 Retaining records under Division 121
121-25 Records for mergers between qualifying superannuation funds
121-15 Retaining records under Division 121
If you were retaining records under section 160ZZU of the Income Tax Assessment Act 1936 for an asset, you must continue to retain them in accordance with Division 121 of the Income Tax Assessment Act 1997.
121-25 Records for mergers between qualifying superannuation funds
(1) A superannuation fund to which subsection 160ZZU(6A) of the Income Tax Assessment Act 1936 applied just before the start of the 1998-99 income year must keep the records referred to in that subsection, and retain them until the end of 30 June 2002.
(2) A superannuation fund to which subsection 160ZZU(6B) of the Income Tax Assessment Act 1936 applied just before the start of the 1998-99 income year in relation to a CGT asset must keep the records referred to in that subsection for the asset, and retain them until the end of 5 years after CGT event A1, B1, C1, C2, G1 or G3 happens in relation to the asset.
Note: The full list of CGT events is in section 104-5 of the Income Tax Assessment Act 1997.
Maximum penalty: 30 penalty units.
(3) Subsection (1) or (2) does not require a fund to retain records if the Commissioner notifies the fund that the retention of the records is not required.
[The next Part is Part 3-3.]
Part 3-3 - Capital gains and losses: special topics
Division 126 - Same asset roll-overs
126-100 Merger of qualifying superannuation funds
(1) This section applies to a CGT asset of a superannuation fund (the transferee) if:
(a) the transferee acquired the asset from another superannuation fund in circumstances to which section 160ZZPI of the Income Tax Assessment Act 1936 applied; and
(b) the transferee owned the asset just before the start of the 1998-99 income year; and
(c) CGT event A1, B1, C1, C2, G1 or G3 happens in relation to the asset in that income year or a later one.
Note: The full list of CGT events is in section 104-5 of the Income Tax Assessment Act 1997.
(2) The first element of the cost base of the asset in the hands of the transferee (at the time the transferee acquired the asset) is the asset's cost base (in the hands of the other fund) at that time.
(3) The reduced cost base of the asset in the hands of the transferee is worked out similarly.
Division 128 - Effect of death
128-15 Effect on the legal personal representative or beneficiary
The rule in item 3 in the table in subsection 128-15(4) of the Income Tax Assessment Act 1997 (about a dwelling that was your main residence just before you died and was not being used for the purpose of producing assessable income) does not apply to a dwelling that devolved to your legal personal representative, or passed to a beneficiary in your estate, on or before 7.30 pm, by legal time in the Australian Capital Territory, on 20 August 1996.
Division 130 - Investments
Table of Subdivisions
130-A Bonus shares and units
130-B Rights
130-C Convertible notes
130-D Employee share schemes
Subdivision 130-A - Bonus shares and units
130-20 Issue of bonus shares or units
(1) This section modifies some of the rules in section 130-20 of the Income Tax Assessment Act 1997 if:
(a) you own shares in a company or units in a unit trust (the original equities); and
(b) on or before the day specified in subsection (2) or (3), the company issues other shares, or the trustee issues other units, (the bonus equities) to you because it owes an amount to you in relation to the original equities.
(2) If the bonus equities are shares and they were issued on or before 30 June 1987:
(a) subsection 130-20(2) of the Income Tax Assessment Act 1997 does not apply to you; and
(b) you work out the cost base and reduced cost base of the bonus equities under subsection 130-20(3) of that Act regardless of whether any part of the amount owed to you by the company is a dividend.
(3) The rule in item 2 of the table in subsection 130-20(3) of the Income Tax Assessment Act 1997 does not apply if the bonus equities were issued on or before 1 pm, by legal time in the Australian Capital Territory, on 10 December 1986 and you were required to pay or give something for them. Instead, you are taken to have acquired the bonus equities when you acquired the original equities.
Subdivision 130-B - Rights
130-40 Exercise of rights
(1) The modifications in section 130-40 of the Income Tax Assessment Act 1997 apply to you for rights (issued to you by a company before 16 August 1989) to acquire shares, or options to acquire shares, in that company, only if you were a shareholder of that company.
(2) The modifications in section 130-40 of the Income Tax Assessment Act 1997 apply to you for rights (issued to you by a company after 15 August 1989 and before the start of the 1993-94 income year) to acquire shares, or options to acquire shares in the company because you were a shareholder of another company, only if the companies were members of the same wholly-owned group for the whole of the income year in which the issue occurred.
(3) The modification in item 3 of the table in section 130-40 of the Income Tax Assessment Act 1997 applies also to your exercise of rights (that you acquired before 20 September 1985) to acquire shares, or options to acquire shares, in a company.
Subdivision 130-C - Convertible notes
130-60 Shares or units acquired by converting a convertible note
(1) The modification in item 1 of the table in subsection 130-60(1) of the Income Tax Assessment Act 1997 does not apply to shares or units in a unit trust you acquire by converting a convertible note (that is a traditional security) that you acquired after 10 May 1989 and before 16 August 1989. Instead, the first element of the cost base and reduced cost base of the shares or units is the sum of:
(a) what you paid or gave to acquire the note; and
(b) any amount you paid in relation to the conversion;
if that sum is more than the market value of the shares or units (at the time of conversion).
(2) The modification in item 2 of the table in subsection 130-60(1) of the Income Tax Assessment Act 1997 does not apply to shares you acquire by converting a convertible note (that is not a traditional security) that you acquired before 20 September 1985 where you paid or gave something in relation to the conversion. Instead, the first element of the cost base and reduced cost base of the shares is the sum of:
(a) the market value of the note at the time of the conversion; and
(b) what you paid or gave in relation to the conversion.
(3) Subsection 130-60(2) of the Income Tax Assessment Act 1997 does not apply to the acquisition of shares by the conversion of a convertible note that you acquired before 20 September 1985 if you did not pay or give anything in relation to the conversion. Instead, you are taken to have acquired them when you acquired the convertible note.
Subdivision 130-D - Employee share schemes
130-95 Application of Division
(1) This Subdivision applies to shares, or rights to acquire shares, you acquired under an employee share scheme if:
(a) the acquisition occurred on or before 6 pm, by legal time in the Australian Capital Territory, on 28 March 1995; or
(b) the acquisition occurred before 1 July 1995 as a result of an offer or invitation made on or before the time referred to in paragraph (a) made to employees of a company to acquire shares or rights in the company or in another company of which the first company was a 100% subsidiary; or
(c) for shares in a public company - the acquisition occurred before 1 July 1996 where:
(i) an offer or invitation to acquire the shares or rights was made to employees of the company or of another company that was a subsidiary of that company within the meaning of the Corporations Law; and
(ii) if approval of shareholders was required for the scheme - that approval was given on or before the time referred to in paragraph (a); or
(d) you elected under subitem 11(5) of Part 4 of Schedule 2 to the Taxation Laws Amendment Act (No. 2) 1995 that the amendments made by that Schedule not apply to the acquisition;
and an amount was included in your assessable income under section 26AAC of the Income Tax Assessment Act 1936 because of the acquisition.
(2) Despite subsection (1), this Subdivision does not apply to the shares or rights if you elected under item 12 or 13 of Part 4 of Schedule 2 to the Taxation Laws Amendment Act (No. 2) 1995 that the amendments made by that Schedule apply to their acquisition.
130-100 Cost base modification
The first element of the cost base and reduced cost base of the shares or rights is their market value (at the time of acquisition) reduced by any amount that is excluded from being included in your assessable income under paragraph 26AAC(4F)(c) of the Income Tax Assessment Act 1936.
130-105 Time of acquisition
If subsection 26AAC(15) of the Income Tax Assessment Act 1936 applies to the acquisition, you are taken to have acquired the shares or rights at the time set out in that subsection.
Note: That subsection deals with the case where there are conditions or restrictions on your disposal of the shares or rights. The time of acquisition is when the conditions or restrictions end.
130-110 Disposals by trustees
(1) A capital gain or a capital loss a trustee makes when a beneficiary becomes absolutely entitled to a share or right in a company is disregarded if these conditions are satisfied.
(2) The beneficiary must be:
(a) a PAYE earner of the company or of another company (at the time the beneficiary first became beneficially entitled to the share or right); or
(b) an associate or affiliate company of such a PAYE earner.
(3) The terms of the trust must have required or authorised the trustee to transfer the share or right to the PAYE earner or associate.
(4) The PAYE earner or associate must not have acquired the share or right for more than the cost base of the share or right (in the hands of the trustee) at the time of the transfer.
(5) There must have been an acquisition of a share or a right to acquire a share by the PAYE earner or associate under a scheme for the acquisition of shares by employees to which section 26AAC of the Income Tax Assessment Act 1936 applies.
130-115 Deceased estates
A capital gain or capital loss a trustee makes from transferring a right to acquire shares in a company to an individual is disregarded if:
(a) the individual dies and an amount is included in the assessable income of the trustee of the deceased's estate under subsection 26AAC(9) of the Income Tax Assessment Act 1936 as a result of that trustee acquiring shares because of the exercise or operation of the right; and
(b) the deceased acquired the right under a trust the trustee of which is required or authorised to transfer shares in a company to employees of the company or another company or to relatives of those employees; and
(c) the deceased did not acquire the right for more than the right's cost base (in the hands of the trustee) at the time of the transfer.
130-120 Amendment of assessments
Section 170 of the Income Tax Assessment Act 1936 does not prevent the amendment of an assessment at any time for the purpose of giving effect to this Subdivision.
Division 134 - Options
134-1 Exercise of options
The modification in item 1 in the table in subsection 134-1(1) of the Income Tax Assessment Act 1997 does not apply to an option (that was granted before 20 September 1985 and exercised after that day) that binds the grantor to dispose of a CGT asset. Instead, the first element of the cost base and reduced cost base of the CGT asset acquired by the grantee by exercising the option includes the market value of the option when it was exercised.
Division 136 - Non-residents
Subdivision 136-A - Making a capital gain or loss
136-25 When an asset has the necessary connection with Australia
A CGT asset a company owns has the necessary connection with Australia if:
(a) the company acquired the asset after 28 January 1988 and on or before 25 May 1988; and
(b) it acquired the asset as a result of a disposal (for the purposes of Part IIIA of the Income Tax Assessment Act 1936) for which there was a roll-over under section 160ZZN or 160ZZO of that Act; and
(c) that disposal was by:
(i) an entity that was not a trustee, and not a resident of Australia for the purposes of that Act; or
(ii) an entity that was a trustee of a trust that was not a resident trust estate, or a resident unit trust, for the purposes of that Act.
Division 140 - Share value shifting
Subdivision 140-A - When is there share value shifting?
140-7 Pre-1994 share value shifts irrelevant
You make adjustments to the cost base and reduced cost base of shares under Division 140 of the Income Tax Assessment Act 1997 only in relation to schemes where the decrease in market value and increase in market value occur after 12 noon, by legal time in the Australian Capital Territory, on 12 January 1994.
140-15 Off-market buy backs
(8) A share value shift is disregarded under subsection 140-15(8) of the Income Tax Assessment Act 1997 only if:
(a) the company concerned buys back the shares after 7.30 pm, by legal time in the Australian Capital Territory, on 9 May 1995; and
(b) the buy back is not done under an arrangement that is an excluded transitional arrangement within the meaning of subsection 12(2) of the Taxation Laws Amendment Act (No. 1) 1996.
Division 149 - When an asset stops being a pre-CGT asset
149-5 Assets that stopped being pre-CGT assets under old law
(1) This section applies to a CGT asset that:
(a) an entity last acquired before 20 September 1985; and
(b) the entity owned just before the start of the 1998-99 income year; and
(c) the entity was taken to have acquired on a day (the acquisition day) on or after 20 September 1985 under Division 20 of Part IIIA of the Income Tax Assessment Act 1936.
(2) In applying Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997 to the entity:
(a) the entity is taken to have acquired the asset on the acquisition day; and
(b) the first element of the cost base and reduced cost base of the asset on the acquisition day is the amount for which the entity is taken to have acquired it under Division 20 of Part IIIA of the Income Tax Assessment Act 1936.
[The next Part is Part 3-5.]
Part 3-5 - Corporate taxpayers and corporate distributions
[The next Division is Division 165.]
Division 165 - Income tax consequences of changing ownership or control of a company
Table of Subdivisions
165-CA Applying net capital losses of earlier income years
165-CB Working out the net capital gain and the net capital loss for the income year of the change
Subdivision 165-CA - Applying net capital losses of earlier income years
165-95 Application of Subdivision 165-CA of the Income Tax Assessment Act 1997
Subdivision 165-CA of the Income Tax Assessment Act 1997 (about companies applying net capital losses of earlier income years) applies to assessments for the 1998-99 income year and later income years.
Subdivision 165-CB - Working out the net capital gain and the net capital loss for the income year of the change
165-105 Application of Subdivision 165-CB of the Income Tax Assessment Act 1997
Subdivision 165-CB of the Income Tax Assessment Act 1997 (about companies working out the net capital gain and the net capital loss for the income year of the change) applies to assessments for the 1998-99 income year and later income years.
[The next Division is Division 170.]
Division 170 - Treatment of company groups for income tax purposes
Table of Subdivisions
170-B Transfer of net capital losses within wholly-owned groups of companies
Subdivision 170-B - Transfer of net capital losses within wholly-owned groups of companies
170-101 Application of Subdivision 170-B of the Income Tax Assessment Act 1997
Subdivision 170-B of the Income Tax Assessment Act 1997 (about transfer of net capital losses within wholly-owned groups of companies) applies to assessments for the 1998-99 income year and later income years.
170-175 Direct and indirect interests in the loss company
Any reduction in the cost base and reduced cost base of a share or debt that has been made or is required to be made under subsection 160ZP(13) of the Income Tax Assessment Act 1936 (as that subsection applied from time to time) is taken to have been made or to have been required to be made under section 170-175 of the Income Tax Assessment Act 1997.
170-180 Direct and indirect interests in the gain company
Any increase in the cost base and reduced cost base of a share or debt that has been made or is authorised to be made under subsections 160ZP(14) and (15) of the Income Tax Assessment Act 1936 (as those subsections applied from time to time) is taken to have been made or to have been authorised to be made under section 170-175 of the Income Tax Assessment Act 1997.
[The next Division is Division 175.]
Division 175 - Use of a company's losses, deductions or bad debts to avoid income tax
Table of Subdivisions
175-CA Tax benefits from unused net capital losses of earlier income years
175-CB Tax benefits from unused capital losses of the current year
Subdivision 175-CA - Tax benefits from unused net capital losses of earlier income years
175-40 Application of Subdivision 175-CA of the Income Tax Assessment Act 1997
Subdivision 175-CA of the Income Tax Assessment Act 1997 (about companies obtaining tax benefits from unused net capital losses of earlier income years) applies to assessments for the 1998-99 income year and later income years.
Subdivision 175-CB - Tax benefits from unused capital losses of the current year
175-55 Application of Subdivision 175-CB of the Income Tax Assessment Act 1997
Subdivision 175-CB of the Income Tax Assessment Act 1997 (about companies obtaining tax benefits from unused capital losses of the current income year) applies to assessments for the 1998-99 income year and later income years.
[The next Part is Part 3-45.]