Taxation Ruling

IT 88A - Addendum

Income Tax: Trading Stock - Commonwealth securities held by authorised dealers in the short term money market.

• Please note that the PDF version is the authorised version of this ruling.

FOI status:

Notice of Addendum

This Addendum amends Taxation Ruling IT 88, in relation to the 1997-98 or a later income year, as follows:

1.

Paragraph 3

•

Omit 'section 6'; substitute ' section 6 of the Income Tax Assessment Act 1936 (section 995-1 of the Income Tax Assessment Act 1997 with effect from and including the 1997-98 income year)'.

2.

Paragraph 6

•

Omit the whole paragraph; insert 'Bonds and other securities held by banks and insurance companies are generally revenue assets and not trading stock. Taxation Ruling TR 96/4 at paragraph 68 provides further discussion on this topic.'.

Commissioner of Taxation
5 May 1999

References

ATO references:
NO NAT 99/4295-5; J226/13

Related Rulings/Determinations:

IT 88