(1) This section applies if you are a * member of an * AMIT in respect of an income year because you have a * CGT asset that is your unit or your interest in the AMIT.
(2) If the * CGT asset's * AMIT cost base net amount for the income year is the excess mentioned in paragraph 104 - 107C(a):
(a) in a case where that AMIT cost base net amount exceeds the * cost base of the asset--reduce the cost base and * reduced cost base of the asset to nil; or
(b) otherwise--reduce the cost base and reduced cost base of the asset by that AMIT cost base net amount.
Note: If that AMIT cost base net amount exceeds the cost base of the asset, CGT event E10 will happen (see section 104 - 107A).
(3) If the * CGT asset's * AMIT cost base net amount for the income year is the shortfall mentioned in paragraph 104 - 107C(b), increase the * cost base and * reduced cost base of the asset by that AMIT cost base net amount.
(4) The time of the reduction or increase is:
(a) unless paragraph (b) applies--just before the end of the income year; or
(b) if a * CGT event happens to the * CGT asset at a time when
you hold it before the end of the income year--just before the time of that
CGT event.