Taxation Laws Amendment Act (No. 5) 2002 (119 of 2002)

Schedule 3   Capital allowances

Income Tax Assessment Act 1997

65   Subsection 115-20(1)

Repeal the subsection, substitute:

(1) To be a *discount capital gain, the *capital gain must have been worked out:

(a) using a *cost base that has been calculated without reference to indexation at any time; or

(b) for a capital gain that arose under *CGT event K7 - using the *cost of the *depreciating asset concerned.

Note: A listed investment company must also calculate capital gains without reference to indexation in order to allow its shareholders to access the concessions in Subdivision 115-D.