INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 10AAA - Transport of minerals and quarry materials  

Subdivision C - General provisions  

SECTION 123D  

123D   TRANSACTIONS BETWEEN PARTIES NOT AT ARM'S LENGTH  
Where:

(a) a person has purchased from another person property:

(i) in respect of which the vendor had incurred expenditure to which Subdivision A or B applies; or

(ii) the expenditure of the purchaser in acquiring which is expenditure to which Subdivision A or B applies;

(b) the Commissioner is satisfied that, having regard to any connexion between the vendor and the purchaser or to any other relevant circumstances, those persons were not dealing with each other at arm's length; and

(c) the purchase price is greater or less than the amount that, in the opinion of the Commissioner, was the value of the property at the time of the purchase,

the purchase price shall, for all purposes of the application of this Act in relation to the vendor or the purchaser, be deemed to have been that amount.