Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 118.227

  (1)   If section   118 - 220 applies to you and:

  (a)   the applicable * dwelling was the deceased's main residence just before the deceased's death; and

  (b)   that dwelling was not then being used for the * purpose of producing assessable income; and

  (c)   the trust referred to in paragraph   118 - 220(b) was then a * special disability trust; and

  (ca)   the deceased was not an * excluded foreign resident just before the deceased's death;

then:

  (d)   the first element of the * CGT asset's * cost base, in your hands, is the CGT asset's * market value just before the deceased's death; and

  (e)   the first element of the CGT asset's * reduced cost base, in your hands, is worked out similarly.

  (2)   However, if section   118 - 220 applies to you as trustee of an implied trust arising because of the deceased's death, but subsection   (1) does not, then:

  (a)   the first element of the * CGT asset's * cost base, in your hands, is the CGT asset's cost base just before the deceased's death; and

  (b)   the first element of the CGT asset's * reduced cost base, in your hands, is worked out similarly.

  (3)   If section   118 - 222 applies to you:

  (a)   the first element of the * CGT asset's * cost base, in your hands, is the CGT asset's cost base just before the earlier * CGT event happened that resulted in you * acquiring the CGT asset or your * ownership interest in it; and

  (b)   the first element of the CGT asset's * reduced cost base, in your hands, is worked out similarly.