Income Tax Assessment Act 1936

Div 10B repealed by No 164 of 2007, s 3 and Sch 10 item 41, effective 1 July 2010.

Div 10B inserted by No 101 of 1956.

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S 124WA repealed by No 164 of 2007, s 3 and Sch 10 item 41, effective 1 July 2010. S 124WA formerly read:

SECTION 124WA DISPOSAL OF UNIT OF INDUSTRIAL PROPERTY WHERE DEDUCTION ALLOWABLE UNDER FORMER SECTION 124ZAF OR SECTION 124ZAFA  
124WA(1)
Where:

(a) for any reason, including:

(i) the formation or dissolution of a partnership; or

(ii) a variation in the constitution of a partnership or in the interests of the partners,

a change has occurred in the ownership of, or in the interests of persons in, a unit of industrial property being a copyright, or an interest in a copyright, subsisting in a film;

(b) the person, or one or more of the persons, who owned the unit before the change has or have an interest in the unit after the change;

(c) a deduction has been allowed or is allowable under former section 124ZAF or section 124ZAFA to the person or to any of the persons who owned the unit before the change in respect of moneys expended in producing, or by way of contribution to the cost of producing, the film, being expenditure that relates to the unit; and

(d) a person to whom a deduction has been allowed or is allowable as mentioned in paragraph (c) has an interest in the unit after the change,

section 124W does not apply to that change but subsections (2), (3) and (7) of this section have effect.

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History

S 124WA(1) amended by No 101 of 2006 , s 3 and Sch 2 item 319, by amending references to repealed inoperative provisions, effective 14 September 2006. For application and savings provisions see the CCH Australian Income Tax Legislation archive .

S 124WA(1)(c) amended by No 14 of 1983.

124WA(2)
Where a person (in this subsection referred to as the relevant person ) who had an interest in the unit before the change:

(a) did not have an interest in the unit after the change; or

(b) had a lesser interest in the unit after the change,

the following provisions have effect:

(c) if the relevant person did not have an interest in the unit after the change, the relevant person shall be deemed, for the purposes of this Division, to have disposed of the whole of his interest in the unit at the time when the change occurred for an amount of consideration equal to:

(i) if the change occurred in pursuance of an agreement and the agreement specified, as the value of the unit for the purposes of the agreement, an amount greater than the value of the unit at the time when the change occurred - so much of the amount specified in the agreement as bears to that amount the same proportion as the value, at the time when the change occurred, of the interest disposed of bears to the value of the unit at the time when the change occurred; and

(ii) in any other case - the value, at the time when the change occurred, of the interest disposed of;

(d) if the relevant person had a lesser interest in the unit after the change, the relevant person shall be deemed, for the purposes of this Division, to have disposed of part of his interest in the unit at the time when the change occurred for an amount of consideration equal to:

(i) if the change occurred in pursuance of an agreement and the agreement specified, as the value of the unit for the purposes of the agreement, an amount greater than the value of the unit at the time when the change occurred - so much of the amount specified in the agreement as bears to that amount the same proportion as the value, at the time when the change occurred, of the part of the interest disposed of bears to the value of the unit at the time when the change occurred; and

(ii) in any other case - the value, at the time when the change occurred, of the part of the interest disposed of.

124WA(3)
Where a person (in this subsection referred to as the relevant person ):

(a) did not have an interest in the unit before the change but had an interest in the unit after the change; or

(b) had an interest in the unit before the change and had an additional interest in the unit after the change,

the following provisions have effect:

(c) if the relevant person did not have an interest in the unit before the change, the relevant person shall be deemed, for the purposes of this Division, to have incurred expenditure of a capital nature, on the purchase of the interest that the relevant person had after the change, of an amount equal to:

(i) if the change occurred in pursuance of an agreement and the agreement specified, as the value of the unit for the purposes of the agreement, an amount less than the value of the unit at the time when the change occurred:

(A) so much of the amount specified in the agreement as bears to that amount the same proportion as the value, at the time when the change occurred, of the interest that the relevant person had after the change bears to the value of the unit at the time when the change occurred; or

(B) so much of the cost of the unit as bears to that cost the same proportion as the value, at the time when the change occurred, of the interest that the relevant person had after the change bears to the value of the unit at the time when the change occurred,

whichever is the less; and

(ii) in any other case:

(A) the value, at the time when the change occurred, of the interest that the relevant person had after the change; or

(B) so much of the cost of the unit as bears to that cost the same proportion as the value, at the time when the change occurred, of the interest that the relevant person had after the change bears to the value of the unit at the time when the change occurred,

whichever is the less;

(d) if the relevant person had an interest in the unit before the change and had an additional interest in the unit after the change, the relevant person shall be deemed, for the purposes of this Division, to have incurred expenditure of a capital nature on the purchase of that additional interest of an amount equal to:

(i) if the change occurred in pursuance of an agreement and the agreement specified, as the value of the unit for the purposes of the agreement, an amount less than the value of the unit at the time when the change occurred:

(A) so much of the amount specified in the agreement as bears to that amount the same proportion as the value of the additional interest, at the time when the change occurred, bears to the value of the unit at the time when the change occurred; or

(B) so much of the cost of the unit as bears to that cost the same proportion as the value of the additional interest, at the time when the change occurred, bears to the value of the unit at the time when the change occurred,

whichever is the less; and

(ii) in any other case:

(A) the value of the additional interest at the time when the change occurred; or

(B) so much of the cost of the unit as bears to that cost the same proportion as the value of the additional interest, at the time when the change occurred, bears to the value of the unit at the time when the change occurred,

whichever is the less.

124WA(4)
Where:

(a) for any reason, including:

(i) the formation or dissolution of a partnership; or

(ii) a variation in the constitution of a partnership or in the interests of the partners,

a change has occurred in the ownership of, or in the interests of persons in, a unit of industrial property being a copyright, or an interest in a copyright, subsisting in a film;

(b) the person, or one or more of the persons, who owned the unit before the change has or have an interest in the unit after the change;

(c) a deduction has been allowed or is allowable under section 124ZAF or 124ZAFA to the person or to any of the persons who owned the unit before the change in respect of moneys expended in producing, or by way of contribution to the cost of producing, the film, being expenditure that relates to the unit; and

(d) no person to whom a deduction has been allowed or is allowable as mentioned in paragraph (c) has an interest in the unit after the change,

section 124W does not apply to that change but the succeeding provisions of this section have effect.

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History

S 124WA(4)(c) amended by No 14 of 1983.

124WA(5)
Any person who had an interest in the unit before the change shall, for the purposes of this Division, be deemed to have disposed of his interest in the unit in whole for an amount of consideration equal to:

(a) if the change occurred in pursuance of an agreement and the agreement specified, as the value of the unit for the purposes of the agreement, an amount greater than the value of the unit at the time when the change occurred - so much of the amount specified in the agreement as bears to that amount the same proportion as the value, at the time when the change occurred, of the interest deemed to have been disposed of bears to the value of the unit at the time when the change occurred; and

(b) in any other case - the value, at the time when the change occurred, of the interest disposed of.

124WA(6)
For the purposes of the application of this Division to the person or persons who owned the unit after the change, that person or those persons shall be deemed to have incurred expenditure of a capital nature on the purchase of the unit of an amount equal to:

(a) if the change occurred in pursuance of an agreement and the agreement specified, as the value of the unit for the purposes of the agreement, an amount less than the value of the unit at the time when the change occurred - the amount specified in the agreement or the cost of the unit, whichever is the less; and

(b) in any other case - the value of the unit at the time when the change occurred or the cost of the unit, whichever is the less.

124WA(7)
For the purposes of the application of subsection (3) or (6) in respect of a change in the ownership of, or in the interests of persons in, a unit of industrial property being a copyright, or an interest in a copyright, subsisting in a film, a reference to the cost of the unit is a reference to the cost (if any) of the unit, ascertained in accordance with section 124R , to the person or persons who owned the unit before the change increased by so much of the expenditure incurred in relation to the film in respect of which a deduction or deductions has or have been allowed or is or are allowable under former section 124ZAF or section 124ZAFA to the person or any of the persons who owned the unit before the change as is attributable to so much of the unit as, immediately before the change occurred, was owned by the person or persons to whom that deduction or those deductions has or have been allowed or is or are allowable.

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History

S 124WA(7) amended by No 101 of 2006 , s 3 and Sch 2 item 320, by amending references to repealed inoperative provisions, effective 14 September 2006. For application and savings provisions see the CCH Australian Income Tax Legislation archive .

S 124WA(7) amended by No 14 of 1983.

S 124WA inserted by No 111 of 1981.

Archived:

S 124X repealed as inoperative by No 101 of 2006 , s 3 and Sch 1 item 121, effective 14 September 2006. For application and savings provisions and for former wording see the CCH Australian Income Tax Legislation archive .