Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-3 - CAPITAL GAINS AND LOSSES: SPECIAL TOPICS  

Division 126 - Same-asset roll-overs  

Subdivision 126-A - Marriage or relationship breakdowns  

SECTION 126-20   Subsequent CGT event happening to roll-over asset where transferor was a CFC or a non-resident trust  

126-20(1)    
This section applies if:

(a) there is a roll-over for the trigger event under section 126-15 ; and

(b) the transferor was:

(i) a *CFC; or

(ii) a trustee of a trust that is a non-resident trust estate within the meaning of section 102AAB of the Income Tax Assessment Act 1936 for the income year of the trigger event; and

(c) section 126-15 is relevant to:

(i) the calculation of the *attributable income of the CFC under Division 7 of Part X of the Income Tax Assessment Act 1936 ; or

(ii) the calculation of the attributable income of the trust under Subdivision D of Division 6AAA of Part III of that Act;

because (ignoring the residency assumptions in that Division or Subdivision) the roll-over asset was not *taxable Australian property; and

(d) a subsequent *CGT event happens in relation to the roll-over asset.

126-20(2)    
In working out the amount of any *capital gain or *capital loss the transferee (or a subsequent owner of the roll-over asset if there is a series of roll-overs until there is no roll-over) makes when a subsequent *CGT event happens in relation to the asset, the modifications specified in Division 7 of Part X, or Subdivision D of Division 6AAA of Part III, of the Income Tax Assessment Act 1936 apply.