INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART IIIA - CAPITAL GAINS AND CAPITAL LOSSES  

Division 19A - Transfers of assets between companies under common ownership  

Subdivision A - Outline and interpretation  

SECTION 160ZZRA  

160ZZRA   INTERPRETATION  
In this Division, unless the contrary intention appears:

"consideration"
, in relation to the disposal of the first asset, means consideration worked out as if subsection 160ZD(2) had not been enacted;

"eligible debt interest"
, in relation to a company, means:

(a) a loan to the company; or

(b) an underlying interest in a loan to the company;

"eligible equity interest"
, in relation to a company, means:

(a) a share in the company; or

(b) an underlying interest in a share in the company;

"first asset"
has the meaning given by section 160ZZRD ;

"first asset disposal time"
has the meaning given by section 160ZZRD ;

indexed threshold amount
has the meaning given by subsection 160ZZRE(1B) .

"non-finance shares"
means shares other than shares where, having regard to:

(a) the manner in which the amount of dividends in respect of the share is to be calculated; and

(b) the conditions applicable to the payment of dividends in respect of the share; and

(c) any other relevant matters;

the payment of dividends in respect of the share may reasonably be regarded as equivalent to the payment of interest on a loan;

original cost
, of an asset to a taxpayer, means the consideration for the last acquisition of the asset by the taxpayer.

"subsidiary"
has the same meaning as in section 160G ;

"total underlying share interests"
, in relation to particular shares in a company, means all of the beneficial interests held by natural persons (whether directly or through one or more interposed companies or trusts) in the shares;

"transferee"
has the meaning given by section 160ZZRD ;

"transferor"
has the meaning given by section 160ZZRD ;

"under common ownership"
has the meaning given by section 160ZZRB ;

"underlying interest"
has the meaning given by section 160ZZRC .

written down value
, for an asset of a taxpayer at a particular time, means the greater of:

(a) the depreciated value of that asset at that time as recorded in the books of the taxpayer; and

(b) the depreciated value of the asset, within the meaning of section 62 of this Act, or the written down value of the asset under Division 42 of the Income Tax Assessment Act 1997 , at that time.