S 311 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 311 formerly read:
SECTION 311 EXERCISE OF RIGHTS
311(1)
[Application of modification]
Despite section
130-40
of the
Income Tax Assessment Act 1997
, the modifications in subsections (3) and (4) of this section apply if a taxpayer exercises rights or options as mentioned in that section to acquire:
(a)
shares in a company, or options to acquire shares in a company; or
(b)
units in a unit trust, or options to acquire units in a unit trust;
and those rights or options are 30 June 1988 assets of the taxpayer.
311(2)
[Cost base calculation]
The first element of the cost base of the shares, units or options is the sum of:
(a)
the amount paid to exercise the rights or options; and
(b)
the greater of the market value of the rights or options (at the end of 30 June 1988) and the cost base of the rights or options (on that day).
311(3)
[Reduced cost base calculation]
The first element of the reduced cost base of the shares, units or options is the sum of:
(a)
the amount paid to exercise the rights or options; and
(b)
the lesser of the market value of the rights or options (at the end of 30 June 1988) and the cost base of the rights or options (on that day).
311(4)
[Payment can include giving property]
The payment referred to in subsection (3) or (4) can include giving property: see subsection
303(3)
.
311(5)
[Indexation]
For indexation purposes, the amount referred to in paragraph (3)(b) is taken to have been incurred on 30 June 1988.
S 311 substituted for s 311, 312, 313 and 314 by No 46 of 1998.
S 311 inserted by No 105 of 1989.
View history note
Hide history note