Income Tax Assessment Act 1997



Division 116 - Capital proceeds  

Special rules  

SECTION 116-85   Section 47A of 1936 Act applying to rolled-over asset  


You reduce the *capital proceeds from a *CGT event that happens in relation to a *CGT asset you have if the conditions in this table are satisfied.

Conditions for reduction
Item Condition
1 You must have *acquired the asset from a company or *CFC
2 Either:
(a) the company obtained a roll-over for the *CGT event that resulted in your *acquisition of the asset; or
(b) the *CFC obtained a roll-over for that event in applying Division 7 of Part X of the Income Tax Assessment Act 1936 for the purpose of working out the *attributable income of a company in relation to any entity except a roll-over under Subdivision 124-J (about Crown leases), 124-K (about depreciating assets) or 124-L (about prospecting and mining entitlements)
3 The company or *CFC is taken, under section 47A of the Income Tax Assessment Act 1936 , to have paid you a dividend in relation to that event, and some or all of the dividend is included in your assessable income under section 44 of that Act


For roll-overs: see Divisions 122 , 124 and 126 .

The reduction is the lesser of:

(a) the amount of the dividend; and

(b) the amount of any *capital gain that, apart from the roll-over, the company or *CFC would have made from the *CGT event if its *capital proceeds from the event had been the asset's *market value (at the time of the event).


This section is disregarded in calculating the attributable income of a CFC: see section 410 of the Income Tax Assessment Act 1936 .

(Repealed by No 96 of 2004)


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