Income Tax Assessment Act 1997
CGT event B1 happens if you enter into an agreement with another entity under which:
(a) the right to the use and enjoyment of a *CGT asset you own passes to the other entity; and
(b) title in the asset will or may pass to the other entity at or before the end of the agreement.
Division 240 provides for the inclusion of amounts under hire purchase agreements in assessable income.
The time of the event is when the other entity first obtains the use and enjoyment of the asset. 104-15(3)
You make a capital gain if the *capital proceeds from the agreement are more than the asset ' s *cost base. You make a capital loss if those capital proceeds are less than the asset ' s *reduced cost base. Exceptions 104-15(4)
A *capital gain or *capital loss you make is disregarded if:
(a) title in the asset does not pass to the other entity at or before the end of the agreement; or
(b) you *acquired the asset before 20 September 1985.
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.