Income Tax (Transitional Provisions) Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-30 - SUPERANNUATION  

Division 294 - Transfer balance cap  

Subdivision 294-B - CGT relief  

SECTION 294-110   Segregated current pension assets  

294-110(1)    
This section applies if:

(a) at the start of the pre-commencement period, a CGT asset of a fund is a segregated current pension asset of the fund; and

(b) either:

(i) at a time (the cessation time ) in the pre-commencement period, the asset ceases to be a segregated current pension asset of the fund; or

(ii) at the start of 1 July 2017 (also the cessation time ), the asset ceases to be a segregated current pension asset of the fund because it supports a superannuation income stream covered by subsection 307-80(3) of the Income Tax Assessment Act 1997 ; and

(c) the fund held the CGT asset throughout the pre-commencement period (disregarding subsection (3)); and

(d) the fund is a complying superannuation fund throughout the period:

(i) starting at the start of the pre-commencement period; and

(ii) ending at the cessation time; 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).

294-110(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.

294-110(3)    
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 the cessation time, the asset for a consideration equal to its market value; and

(b) to have purchased the asset again at the cessation time for a consideration equal to its market value.