Draft Taxation Determination

TD 94/D53

Income tax: is a benefit payable under a trauma insurance policy which is beneficially owned by that person exempt from capital gains tax under section 160ZB of the Income Tax Assessment Act 1936 (the Act)?

  • Please note that the PDF version is the authorised version of this draft ruling.
    This document has been finalised by TD 95/43.

FOI status:

draft only - for comment

Preamble

Draft Taxation Determinations (TDs) present the preliminary, though considered, views of the ATO. Draft TDs may not be relied on; only final TDs are authoritative statements of the ATO.

1. Yes. The benefit payable under a trauma insurance policy which is beneficially owned by that person is exempt from capital gains tax under section 160ZB of the Act.

2. The person has merely obtained a sum by way of compensation for any injuries suffered by the taxpayer to his or her person.

Commissioner of Taxation
19 May 1994

References

ATO references:
NO
BO Insurance Industry Cell

ISSN 1038 - 8982

Related Rulings/Determinations:

TD 94/D49
TD 94/D50
TD 94/D51
TD 94/D52

Subject References:
life assurance company
trauma insurance policy
accident & disability insurance policy
capital gains

Legislative References:
ITAA 160ZB

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