Income Tax Assessment Act 1997



Division 124 - Replacement-asset roll-overs  

Subdivision 124-M - Scrip for scrip roll-over  

Operative provisions

SECTION 124-795   124-795(1)   Exceptions  

You cannot obtain the roll-over if, just before you stop owning your original interest, you are a foreign resident unless, just after you *acquire your replacement interest, the replacement interest is *taxable Australian property.

You cannot obtain the roll-over if:

(a) any *capital gain you might make from your replacement interest would be disregarded (except because of a roll-over); or

(b) you and the acquiring entity are members of the same *wholly-owned group just before you stop owning your original interest and the acquiring entity is a foreign resident.


An example of a capital gain or loss being disregarded as mentioned in paragraph (2)(a) is because the asset is trading stock.


A roll-over may be available under Subdivision 126-B in the circumstances mentioned in paragraph (2)(b).


You cannot obtain the roll-over for the *CGT event happening in relation to the exchange of your original interest if you can choose a roll-over under Division 122 or 615 for that event.

Division 122 deals with the disposal of assets to a wholly-owned company, and Division 615 deals with business restructures.


You cannot obtain the roll-over for the *CGT event happening in relation to the exchange of your qualifying interest if:

(a) the replacement entity makes a choice to that effect under this subsection; and

(b) that entity or the original entity notifies you in writing of the choice before the exchange.

(Repealed by No 168 of 2006 )


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.