INCOME TAX ASSESSMENT ACT 1997
Div 328 (heading) substituted by No 80 of 2007 , s 3 and Sch 3 item 1, applicable in relation to the 2007-08 income year and later income years. The heading formerly read:
Division 328 - STS taxpayers
Div 328 inserted by No 78 of 2001.
Subdiv 328-G inserted by No 18 of 2016, s 3 and Sch 1 item 1, applicable to:
Former Subdiv 328-G repealed by No 80 of 2007, s 3 and Sch 3 item 86, applicable in relation to the 2007-08 income year and later income years. Subdiv 328-G formerly read:
Subdivision 328-G - Entering and leaving the STSSECTION 328-430 What this Subdivision is about
Operative provisions SECTION 328-435 Entering the STS
Eligible taxpayers have a choice as to whether to enter the STS.
The rules for entering and leaving the STS are set out in this Subdivision.
You are an STS taxpayer for an income year if:
(a) you are eligible to be an *STS taxpayer for that year (see Subdivision 328-F); and
(b) you notify the Commissioner, in the *approved form, of your choice to become such a taxpayer for that year. SECTION 328-440 Leaving the STS
You continue to be an STS taxpayer for each later income year unless:
(a) you notify the Commissioner, in the * approved form, of your choice to stop being an STS taxpayer; or
(b) you are not eligible to be an STS taxpayer for that later year (see Subdivision 328-F).
If you are not eligible to be an STS taxpayer for that later year, you must notify the Commissioner, in the *approved form, of that fact. Restriction on re-entry
If you choose to stop being an *STS taxpayer, you cannot again become an STS taxpayer until at least 5 years after the income year that you left the STS.
If you stop being an STS taxpayer because of increased turnover or because of the value of your depreciating assets, you can become an STS taxpayer for an income year again as soon as you are eligible.
Former Subdiv 328-G inserted by No 78 of 2001.
Note: A Commissioner ' s Remedial Power (CRP 2017/2) is relevant to this part of the tax law. Taxation Administration (Remedial Power - Small Business Restructure Roll-over) Determination 2017 (F2017L01687) modifies the operation of s 40-340 of the Income Tax Assessment Act 1997 and any other provisions of a taxation law whose operation is affected by the modified operation of s 40-340 in relation to an asset transferred under a small business restructure roll-over (item 8 of the table in s 40-340(1) ).
The operation of the relevant provisions is modified as follows:
If s 40-340 of ITAA 1997 provides for roll-over relief in relation to a disposal of a depreciating asset because the condition in item 8 of the table in s 40-340(1) of ITAA 1997 is satisfied in relation to the asset, that section has effect as if it also provided that the disposal of the asset has no direct consequences under the income tax law (other than Div 40 of ITAA 1997).
The modification applies in respect of transfers on or after 8 May 2018.
An entity must treat a modification as not applying to it or any other entity if the modification would produce a less favourable result for it. The Commissioner is empowered by s 370-5 of Sch 1 to the Taxation Administration Act 1953 to make modifications, by legislative instrument, to ensure the law is administered to achieve its intended purpose or object.
There are tax-neutral consequences for a small business entity that restructures the ownership of the assets of the business, without changing the ultimate economic ownership of the assets.
S 328-420 inserted by No 18 of 2016, s 3 and Sch 1 item 1, applicable to:
|Object of this Subdivision|
|328-425||Object of this Subdivision|
|Requirements of a roll-over under this Subdivision|
|328-430||When a roll-over is available|
|328-435||Genuine restructures - safe harbour rule|
|328-440||Ultimate economic ownership - discretionary trusts|
|Consequences of a roll-over under this Subdivision|
|328-450||Small business transfers not to affect income tax positions|
|328-455||Effect of small business restructures on transferred cost of assets|
|328-460||Effect of small business restructures on acquisition times of pre-CGT assets|
|328-465||New membership interests as consideration for transfer of assets|
|328-470||Membership interests affected by transfers of assets|
|328-475||Small business restructures involving assets already subject to small business roll-over|
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.