Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-3 - CAPITAL GAINS AND LOSSES: SPECIAL TOPICS  

Division 124 - Replacement-asset roll-overs  

Subdivision 124-S - Interest realignment arrangements  

Operative provisions

SECTION 124-1225   Disposals of interests under interest realignment arrangements  

124-1225(1)    
There is a roll-over if:

(a) *CGT event A1 happens because you *dispose of one or more assets each of which:

(i) is an interest (an original interest ) in a *mining, quarrying or prospecting right; and

(ii) is an interest that you started to *hold before 1 July 2001; and

(b) the disposal occurs under an *interest realignment arrangement.

124-1225(2)    
The first element of the *cost base and *reduced cost base of an interest (a new interest ) in a *mining, quarrying or prospecting right that you acquire under the *interest realignment arrangement includes any amount you paid to acquire the new interest.

Note 1:

The rest of the first element is worked out under Subdivision 124-A .

Note 2:

Under subsections 124-10(2) and 124-15(2) , a capital gain or capital loss you make from the original interest is disregarded.

124-1225(3)    
The amount can include giving property: see section 103-5 . However, it does not include a *mining, quarrying or prospecting right that you dispose of under the *interest realignment arrangement.