Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-3 - CAPITAL GAINS AND LOSSES: SPECIAL TOPICS  

Division 124 - Replacement-asset roll-overs  

Subdivision 124-K - Depreciating assets  

SECTION 124-655  

124-655   Roll-over for depreciating assets  

There is a roll-over for a *depreciating asset if:

(a) the asset is attached to land you hold under a *quasi-ownership right granted by an *exempt Australian government agency or an *exempt foreign government agency; and

(b) you *hold the asset because of section 40-40 ; and

(c) the quasi-ownership right expires or is terminated or you surrender it; and

(d) you are granted a new quasi-ownership right over the land or an estate in fee simple in the land; and

(e) there is no roll-over for you under Subdivision 124-J (about Crown leases) or Subdivision 124-L (about prospecting and mining entitlements).

Note 1:

The roll-over consequences are set out in Subdivision 124-A .

Note 2:

This section provides a roll-over for a depreciating asset in the limited circumstances where Subdivision 124-J cannot because a quasi-ownership right over land covers situations that a Crown lease does not (for example, an easement over land).

Note 3:

If there has been a capital improvement to the quasi-ownership right: see section 108-75 .