Income Tax Assessment Act 1997
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View history notePart 3-3 inserted by No 46 of 1998.
Div 124 inserted by No 46 of 1998.
Subdiv 124-O repealed by No 109 of 2014, s 3 and Sch 10 item 38, effective 17 October 2014.
Subdiv 124-O inserted by No 101 of 2004.
124-920 (Repealed) SECTION 124-920 Consequences of a new owner roll-over (where more than one CGT asset comes to an end)
(Repealed by No 109 of 2014)
S 124-920 repealed by No 109 of 2014, s 3 and Sch 10 item 38, effective 17 October 2014. S 124-920 formerly read:
the consequences of that section applying are the consequences set out in this section.
SECTION 124-920 Consequences of a new owner roll-over (where more than one CGT asset comes to an end)
124-920(1)
In each situation covered by section
124-900
,
124-905
or
124-910
, where:
(a)
a person's (the
original owner's
) ownership of more than one *CGT asset (the
original asset or assets
) comes to an end; and
(b)
another person (the
new owner
) acquires one or more *CGT assets (the
replacement asset or assets
);
124-920(2)
A *capital gain or a *capital loss that the original owner makes from a *CGT event happening to any of the original assets is disregarded.
124-920(3)
If the original owner *acquired all the original assets on or after 20 September 1985, the first element of each replacement asset's *cost base is the sum of:
(a)
the amount worked out under the formula in subsection (4); and
(b)
any amount the new owner paid to get the replacement asset (which can include giving property: see section
103-5
).
124-920(4)
The formula is:
The total of the *cost bases of all the original assets
(worked out when the original owner's ownership of them ended)
The number of replacement assets
Note:
If an original asset is an old licence that ceases to have effect only partly, subsection (11) modifies this formula.
124-920(5)
The first element of each replacement asset's *reduced cost base is worked out similarly.
124-920(6)
If the original owner *acquired all the original assets before 20 September 1985, the new owner is taken to have acquired each replacement asset before that day.
124-920(7)
If the original owner *acquired some of the original assets before 20 September 1985, each replacement asset, or part of a replacement asset, to the extent that it relates to one or more original assets that were *acquired before 20 September 1985, is taken to be:
(a) a separate asset; and
(b) acquired before 20 September 1985.
124-920(8)
If subsection (7) applies, the first element of the *cost base of each replacement asset that is not taken to have been *acquired before 20 September 1985 is the sum of:
(a) the amount worked out under the formula in subsection (9); and
(b) either:
(i) any amount the new owner paid to get the replacement asset (which can include giving property: see section 103-5 ); or
(ii) for a replacement asset, part of which is treated as a separate asset under subsection (7) - such part of any amount the new owner paid to get the asset (which can include giving property: see section 103-5 ) as is reasonably attributable to the part of the asset that is not taken to have been acquired before 20 September 1985.
124-920(9)
The formula is:
| The total of the *cost bases of the original assets that the
original owner *acquired on or after 20 September 1985 The number of replacement assets that are not taken to have been *acquired before 20 September 1985 |
Note:
If an original asset is an old licence that ceases to have effect only partly, subsection (11) modifies this formula.
124-920(10)
The first element of each replacement asset's *reduced cost base is worked out similarly.
124-920(11)
If, in a situation covered by section 124-900 , an old licence mentioned in that section ceases to have effect only partly, then a reference in subsection (4) or (9) of this section to the original asset's *cost base is taken to be a reference to such part of the cost base of the old licence as is reasonably attributable to the part of the old licence that ceases to have effect.
S 124-920 inserted by No 101 of 2004.
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