Income Tax Assessment Act 1997



Division 855 - Capital gains and foreign residents  

Subdivision 855-B - Becoming an Australian resident  

SECTION 855-45   Individual or company becomes an Australian resident  

If you become an Australian resident, there are rules relevant to each *CGT asset that you owned just before you became an Australian resident, except an asset:

(a) that is *taxable Australian property; or

(b) that you *acquired before 20 September 1985.


This section has effect subject to section 768-950 (individuals who become Australian residents and are temporary residents immediately after they become Australian residents).

The first element of the *cost base and *reduced cost base of the asset (at the time you become an Australian resident) is its *market value at that time.

Also, Parts 3-1 and 3-3 apply to the asset as if you had *acquired it at the time you became an Australian resident.


This section does not apply to an *ESS interest if:

(a) Subdivision 83A-C (about employee share schemes) applies to the interest, and the *ESS deferred taxing point for the interest has not yet occurred; or

(b) the provisions referred to in paragraphs 83A-33(1)(a) to (c) (about start ups) apply to the ESS interest.


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