Income Tax Assessment Act 1997



Division 115 - Discount capital gains and trusts ' net capital gains  

Subdivision 115-B - Discount percentage  

SECTION 115-105   Foreign or temporary residents - individuals with direct gains  


The object of this section (with section 115-115) is to adjust the discount percentage so as to deny you a discount to the extent that you accrued a * capital gain while a foreign resident or * temporary resident. When this section applies

This section applies to a * discount capital gain if:

(a) you are an individual; and

(b) you * acquire a * CGT asset; and

(c) you make the discount capital gain from a * CGT event happening in relation to the CGT asset; and

(d) the period (the discount testing period ):

(i) starting on the day you acquired the CGT asset; and

(ii) ending on the day the CGT event happens;
ends after 8 May 2012; and

(e) you were a foreign resident or * temporary resident during some or all of so much of that period as is after 8 May 2012.


Section 115-30 has special rules about when assets are acquired.

Changed residency status

For the purposes of this section and section 115-115 , if:

(a) another individual owned the * CGT asset on a particular day before the discount testing period ends; and

(b) on that day, that individual was one of the following (that individual ' s residency status ):

(i) an Australian resident (but not a * temporary resident);

(ii) a temporary resident;

(iii) a foreign resident; and

(c) section 115-30 treats you as having * acquired the CGT asset when that individual, or an earlier owner of the CGT asset, acquired it;

you are treated as having the same residency status on that day as that individual had on that day.


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