INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 3 - Deductions  

Subdivision G - Limitation on deductions for interest on money borrowed to finance rental property investments  

SECTION 82KZK   RENTAL PROPERTY INCOME TO INCLUDE TAXABLE VALUES OF CERTAIN FRINGE BENEFITS  

82KZK(1)   [Housing or residual fringe benefit]  

For the purposes of this Subdivision, where:

(a) in respect of the employment of an employee of the taxpayer, the taxpayer provided a fringe benefit in relation to a year of tax ending in a year of income, being:

(i) a housing fringe benefit constituted by the subsistence of a lease in respect of land; or

(ii) a residual fringe benefit constituted by the subsistence of a lease in respect of land;

(b) the land was not exempt residential land in relation to the taxpayer; and

(c) either of the following subparagraphs applies:

(i) the taxpayer acquired an interest in the land after the commencement date;

(ii) the taxpayer or another person made a post commencement date improvement to the land,

the taxpayer shall, in the year of income, in addition to any other amount of rental property income derived by the taxpayer, be deemed to have derived rental property income equal to the taxable value of the fringe benefit in relation to the year of tax.

82KZK(2)   [Interpretation]  

Expressions used in this section and in the Fringe Benefits Tax Assessment Act 1986 have the same respective meanings in this section as they have in that Act.