FRINGE BENEFITS TAX ASSESSMENT ACT 1986

PART XII - INTERPRETATION  

SECTION 141A   BENEFITS INCIDENTAL TO ACQUISITION OR SALE OF PRESCRIBED INTERESTS IN LAND OR STRATUM UNITS AND PROPRIETARY RIGHTS IN RESPECT OF DWELLINGS  

141A(1)   [Recipients expenditure]  

For the purposes of this Act, recipients expenditure shall be taken to be incidental to the acquisition or sale of a prescribed interest in land or a stratum unit or of a proprietary right in respect of a dwelling if, and only if:


(a) in the case of an acquisition of a prescribed interest in land on which the employee or associate concerned proposes to construct, or complete the construction of, a building constituting or containing a dwelling - the recipients expenditure is in respect of any of the following matters:


(i) stamp duty;

(ii) legal services;

(iii) agent's services;

(iv) discharge of a mortgage;

(v) expenses of borrowing;

(vi) any similar matter;
being a matter of a capital nature that is incidental to the construction, or the completion of the construction, of that building;


(b) in all cases - the recipients expenditure is in respect of any of the following matters:


(i) stamp duty;

(ii) advertising;

(iii) legal services;

(iv) agent's services;

(v) discharge of a mortgage;

(vi) expenses of borrowing;

(vii) any similar matter;
being a matter of a capital nature that is incidental to the acquisition or sale of the interest or right; and


(c) in all cases - the recipients expenditure is not in respect of:


(i) interest;

(ii) repayments of principal;

(iii) loan service fees;

(iv) the discharge of a mortgage, or expenses of borrowing, where the money borrowed was not applied wholly in respect of the land, stratum unit or proprietary right or in respect of a building on the land;

(v) insurance; or

(vi) rates.

141A(2)   [Recipients benefit]  

For the purposes of this Act, a recipients benefit shall be taken to be incidental to the acquisition or sale of a prescribed interest in land or a stratum unit or of a proprietary right in respect of a dwelling if, and only if:


(a) the recipients benefit consists of any of the following matters:


(i) advertising;

(ii) legal services;

(iii) agent's services;

(iv) services related to borrowing;

(v) any similar matter;
being a matter of a capital nature that is incidental to the acquisition or sale of the interest or right; and


(b) the recipients benefit does not consist of or relate to:


(i) insurance; or

(ii) services related to borrowing where the money borrowed was not applied wholly in respect of the land, stratum unit or proprietary right or in respect of a building on the land.


 

Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited

CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.

The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.