Income Tax Assessment Act 1997
View history note
Hide history noteThis Division applies in 2 situations.
Entity sale
58-5(2)
The first (an entity sale situation ) is where:
(a) at a particular time on or after 1 July 2001, an entity is an *exempt entity; and
(b) just after that time, the entity's *ordinary income or *statutory income becomes to any extent assessable income.
58-5(3)
In an entity sale situation:
(a) the entity is a transition entity ; and
(b) the time when the entity's *ordinary income or *statutory income becomes to that extent assessable is the transition time ; and
(c) the income year in which the *transition time occurs is the transition year for the entity; and
(d) the *depreciating assets the *transition entity *held just before the transition time are privatised assets .
Asset sale
58-5(4)
The second (an asset sale situation ) is where:
(a) at a particular time on or after 1 July 2001, an entity (the purchaser ) whose *ordinary income or statutory income is to any extent assessable acquires a *depreciating asset from the Commonwealth, a State, a Territory or an *exempt entity; and
(b) the asset is acquired in connection with the acquisition of a *business from the Commonwealth, the State, the Territory or the exempt entity.
58-5(5)
In an asset sale situation:
(a) the Commonwealth, the State, the Territory or the *exempt entity is the tax exempt vendor ; and
(b) the time when the *depreciating asset is acquired is the acquisition time ; and
(c) the income year in which the *acquisition time occurs is the acquisition year ; and
(d) each *depreciating asset the purchaser acquires from the *tax exempt vendor at the acquisition time is a privatised asset .
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