INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART IIIA - CAPITAL GAINS AND CAPITAL LOSSES  

Division 2 - Application  

SECTION 160MA   CERTAIN ASSET CREATION CASES NOT TO CONSTITUTE AN ACQUISITION OR DISPOSAL  

160MA(1)   Certain debts.  

If a person creates a debt by borrowing money or obtaining credit from another person, neither subsection 160M(6) nor subsection 160M(7) applies to the creation of the debt, but the other person is taken to acquire the debt for the purposes of this Part.

160MA(2)   Right to require Part IIIA disposal.  

If:

(a) a person creates a right in another person to require the first person to do any thing; and

(b) the doing of the thing will constitute the disposal of an asset for the purposes of this Part;

then neither subsection 160M(6) nor subsection 160M(7) applies to the creation of the right.

160MA(3)   Interpretive provision relating to paragraph (2)(b).  

In applying paragraph (2)(b), the exclusion from the definition of ``asset'' in section 160A of motor vehicles of a kind covered by paragraph 82AF(2)(a) , and interests in such motor vehicles, is to be ignored.