Tax Laws Amendment (Norfolk Island CGT Exemption) Act 2016

(20 of 2016)

An Act to amend the law relating to taxation, and for related purposes

[Assented to 18 March 2016]

The Parliament of Australia enacts:

1   Short title

This Act may be cited as the Tax Laws Amendment (Norfolk Island CGT Exemption) Act 2016.

2   Commencement

 

(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

      

(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3   Schedules

Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1   Norfolk Island capital gains tax exemption

Income Tax Assessment Act 1997

1   Section 109-60 (table item 1A)

Repeal the table item.

2   Section 112-97 (table item 2AA)

Repeal the table item.

Income Tax (Transitional Provisions) Act 1997

3   Paragraph 102-25(2)(a)

Omit "30 June 2016", substitute "23 October 2015".

4   Paragraph 102-25(2)(d)

Omit "1 July 2016", substitute "24 October 2015".

5   Subsection 102-25(2)

Omit all the words after paragraph (d), substitute:

then Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997 apply in relation to the asset as if references in those Parts to 20 September 1985 were references to 24 October 2015.

6   Subsections 102-25(3) and (4)

Repeal the subsections, substitute:

(3) Despite Division 121 of the Income Tax Assessment Act 1997, the entity is not required to keep records of:

(a) the date of acquisition of an asset in relation to which subsection (1) of this section applies, or its cost base on 30 June 1991; or

(b) the date of acquisition of an asset in relation to which subsection (2) of this section applies.

(4) However, the entity may choose that subsection (1) does not apply in relation to an asset to which it would (apart from this subsection) apply if:

(a) a CGT event happens in relation to the asset; and

(b) as at the date on which it happens, the entity has complied with Division 121 of the Income Tax Assessment Act 1997 in relation to the asset.