Income Tax Assessment Act 1997

Part 3-90 inserted by No 68 of 2002, s 3 and Sch 1 item 2, effective 24 October 2002 and applicable on and after 1 July 2002 (see sec 700-1 of the Income Tax (Transitional Provisions) Act 1997 ).

Div 705 inserted by No 68 of 2002, s 3 and Sch 1 item 2, effective 24 October 2002 and applicable on and after 1 July 2002 (see sec 700-1 of the Income Tax (Transitional Provisions) Act 1997 ).

Subdiv 705-A inserted by No 68 of 2002, s 3 and Sch 1 item 2, effective 24 October 2002 and applicable on and after 1 July 2002 (see sec 700-1 of the Income Tax (Transitional Provisions) Act 1997 ).

S 705-56A repealed by No 99 of 2012, s 3 and Sch 3 item 42, effective 29 June 2012. For application provisions see note under s 701-55(5C) . S 705-56A formerly read:

SECTION 705-56A Modification for tax cost setting in relation to certain rights to future income  
705-56A(1)
This section applies if, just before the joining time:

(a) the joining entity * holds an asset; and

(b) under the terms of a contract or agreement, the joining entity holds a * right to future income arising from the asset; and

(c) the right to future income is not a * non-deductible right to future income in relation to the joining entity.

705-56A(2)
Subsection (3) applies if the sum of:

(a) the * market value of the asset at the joining time (having regard to the * right to future income); and

(b) the market value of the right to future income at the joining time;

exceeds the market value of the asset at the joining time (disregarding the right to future income).

705-56A(3)
For the purposes of paragraph 705-35(1)(c) , treat the * market value of the * right to future income as the excess mentioned in subsection (2).

705-56A(4)
If subsection (3) does not apply:

(a) the * right to future income is not taken into account under paragraph 705-35(1)(b) or (c) ; and

(b) the right to future income ' s * tax cost setting amount is taken to be nil.

S 705-56A inserted by No 99 of 2012, s 3 and Sch 1 item 22, effective 29 June 2012. For application provisions see note under s 701-55(5C) .