Income Tax Assessment Act 1997
View history note
Hide history noteIf you *acquire a *CGT asset from another entity that is subject to a liability, the first element of your *cost base and *reduced cost base of the asset includes the amount of the liability you assume.
Example:
You acquire a block of land for $150,000. You pay $50,000 and assume a liability for an outstanding mortgage of $100,000. The first element of your cost base and reduced cost base is $150,000.
Note:
The first element of cost base is dealt with in subsection 110-25(2) . The first element of reduced cost base is the same: see subsection 110-55(2) .
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