Income Tax Assessment Act 1997



Division 725 - Direct value shifting affecting interests in companies and trusts  

Subdivision 725-A - Scope of the direct value shifting rules  

SECTION 725-70   Consequences for down interest only if there is a material decrease in its market value  


For a * down interest of which you are an * affected owner, the * direct value shift has consequences under this Division only if the sum of the decreases in the *market value of all down interests because of direct value shifts under the same * scheme as the direct value shift is at least $150,000.

In working out the sum of the decreases in market value of all down interests, it will be necessary to include decreases not only in your down interests, but also in those of other affected owners and of entities that are not affected owners.

However, if, having regard to all relevant circumstances, it is reasonable to conclude that the sole or main reason why a * direct value shift happened under a different scheme from one or more other direct value shifts was so that subsection (1) would not be satisfied for one or more of the direct value shifts mentioned in this subsection, subsection (1) does not apply (and is taken never to have applied) to any of the direct value shifts.


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