Income Tax (Transitional Provisions) Act 1997



Division 294 - Transfer balance cap  

Subdivision 294-B - CGT relief  

SECTION 294-115   Superannuation funds using the proportionate method - deemed sale and purchase of CGT asset  


This section applies in relation to a CGT asset of a fund if:

(a) the fund is a complying superannuation fund throughout the pre-commencement period; and

(b) the proportion mentioned in subsection 295-390(3) of the Income Tax Assessment Act 1997 in respect of the fund for the 2016-17 income year is greater than nil; and

(c) the fund held the asset throughout the pre-commencement period; and

(d) throughout the pre-commencement period, the asset:

(i) was not a segregated current pension asset of the fund; and

(ii) was not a segregated non-current asset of the fund; and

(e) the trustee of the fund makes a choice for the purposes of this paragraph in respect of the asset in accordance with subsection (2).

A choice made for the purposes of paragraph (1)(e):

(a) is to be in the approved form; and

(b) can only be made on or before the day by which the trustee of the fund is required to lodge the fund ' s income tax return for the 2016-17 income year; and

(c) cannot be revoked. Deemed sale and purchase

For the purposes of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997 , the fund is taken:

(a) to have sold, immediately before 1 July 2017, the asset for a consideration equal to its market value; and

(b) to have purchased the asset again just after that sale for a consideration equal to its market value.


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.