Commonwealth Consolidated Acts Commonwealth Consolidated ActsTo the extent that the * direct value shift is from * down interests of which you are an * affected owner, and that are specified in an item in the table, to * up interests specified in that item, those up interests give rise to a taxing event generating a gain for you on each of those down interests. The gain is worked out under section 725 - 365.
Taxing events generating a gain for down interests as CGT assets | ||
Item | Down interests: | |
1 | * down interests that: (a) are owned by you ; and (b) are neither your * revenue assets nor your * trading stock ; and (c) have * pre - shift gains ; and (d) are * post - CGT assets | * up interests owned by you that: (a) are neither your revenue assets nor your trading stock ; and (b) are * pre - CGT assets |
2 | * down interests that: (a) are owned by you ; and (b) are neither your * revenue assets nor your * trading stock ; and (c) have * pre - shift gains | * up interests owned by you that are your trading stock or revenue assets |
3 | * down interests owned by you that: (a) are of the one kind (either your * trading stock or your * revenue assets ); and (b) have * pre - shift gains | * up interests owned by you that: (a) are of the other kind (either your revenue assets or your trading stock ); or (b) are neither your * revenue assets nor your * trading stock |
4 | * down interests owned by you that have * pre - shift gains | up interests owned by other * affected owners |
Note: If there is a taxing event generating a gain on a down interest, CGT event K8 happens: see section 104 - 250. However, a capital gain you make under CGT event K8 is disregarded if the down interest:
• is your trading stock (see section 118 - 25); or
• is a pre - CGT asset (see subsection 104 - 250(5)).