Commonwealth Consolidated Acts Commonwealth Consolidated Acts
Income Tax Assessment Act 1997
1 At the end of subsection 25 - 5(1)
Add:
; or (d) obtaining a valuation in accordance with section 30 - 212.
2 Before subsection 30 - 5(5)
Insert:
(4B) Subdivisions 30 - DB, 30 - DC and 30 - DD allow you to spread the deduction for certain gifts over up to 5 income years.
3 Subsection 30 - 15(2) (table item 1, at the end of the column headed "Type of gift or contribution")
Add:
| ; or (d) property valued by the Commissioner at more than $5,000. |
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4 Subsection 30 - 15(2) (table item 1, column headed "How much you can deduct")
After " paragraph ( c)", insert "or property covered by paragraph ( d)".
5 Subsection 30 - 15(2) (table item 1, at the end of the column headed "How much you can deduct")
Add:
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| ; or (d) if the gift is property valued by the Commissioner at more than $5,000 and you did not purchase the property during the 12 months before making the gift--the value of the property as determined by the Commissioner. |
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6 Subsection 30 - 15(2) (table item 1, at the end of the column headed "Special conditions")
Add:
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| ; and (d) if the property is to be valued by the Commissioner--the requirements of section 30 - 212 are satisfied. |
7 Subsection 30 - 15(2) (table item 2, column headed "Recipient")
After "public fund", insert ", or a * prescribed private fund,".
8 Subsection 30 - 15(2) (table item 2, at the end of the column headed "Type of gift or contribution")
Add:
| ; or (d) property valued by the Commissioner at more than $5,000. |
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9 Subsection 30 - 15(2) (table item 2, column headed "How much you can deduct")
After " paragraph ( c)", insert "or property covered by paragraph ( d)".
10 Subsection 30 - 15(2) (table item 2, at the end of the column headed "How much you can deduct")
Add:
|
| ; or (d) if the gift is property valued by the Commissioner at more than $5,000 and you did not purchase the property during the 12 months before making the gift--the value of the property as determined by the Commissioner. |
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11 Subsection 30 - 15(2) (table item 2, at the end of the column headed "Special conditions")
Add:
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| ; and (d) if the property is to be valued by the Commissioner--the requirements of section 30 - 212 are satisfied. |
12 At the end of section 30 - 205
Add:
(2) However, this section does not apply if, apart from the operation of subsection 118 - 60(2), an amount would have been included in your assessable income in respect of the gift you made.
13 After section 30 - 210
Insert:
30 - 212 Valuations by the Commissioner
(1) If you make a gift that is covered by a provision of this Division that refers to the value of property as determined by the Commissioner, you must seek the valuation from the Commissioner.
(2) The Commissioner may charge you the amount worked out in accordance with the regulations for making the valuation.
18 Before Subdivision 30 - E
Insert:
Subdivision 30 - DB -- Spreading cultural gift deductions over up to 5 income years
30 - 246 What this Subdivision is about
This Subdivision allows you to choose to spread deductions for cultural gifts over up to 5 income years.
You must give a copy of the election to the Arts Secretary.
Table of sections
Operative provisions
30 - 247 Making an election
30 - 248 Effect of election
[This is the end of the Guide.]
(1) If you can deduct an amount under this Division for a gift that is covered by item 4 or 5 of the table in section 30 - 15, you may make a written election to spread that deduction over the current income year and up to 4 of the immediately following income years.
(2) In the election, you must specify the percentage (if any) of the deduction that you will deduct in each of the income years.
(3) You must make the election before you lodge your * income tax return for the income year in which you made the gift.
(4) You must give a copy of the election to the * Arts Secretary before you lodge your * income tax return for the income year in which you made the gift.
(5) You may vary an election at any time. However, the variation can only change the percentage that you will deduct in respect of income years for which you have not yet lodged an * income tax return. You must give a copy of the variation to the * Arts Secretary before you lodge your * income tax return for the first income year to which the variation applies.
(6) The election and any variation must be in a form approved in writing by the * Arts Secretary.
(1) In each of the income years you specified in the election, you can deduct the amount corresponding to the percentage you specified for that year.
(2) You cannot deduct the amount that you otherwise would have been able to deduct for the gift in the income year in which you made the gift.
Subdivision 30 - DC -- Spreading environmental gift deductions over up to 5 income years
30 - 249 What this Subdivision is about
This Subdivision allows you to choose to spread deductions for environmental gifts over up to 5 income years.
You must give a copy of the election to the Environment Secretary.
Table of sections
Operative provisions
30 - 249A Making an election
30 - 249B Effect of election
[This is the end of the Guide.]
(1) If you can deduct an amount under this Division for a gift that is:
(a) to a fund, authority or institution that is set out in section 30 - 55 (other than a fund, authority or institution that is covered by item 6.2.13 to 6.2.21 in the table in subsection 30 - 55(2)); and
(b) covered by item 1 or 2 of the table in section 30 - 15; and
(c) of property valued by the Commissioner at more than $5,000;
you may make a written election to spread that deduction over the current income year and up to 4 of the immediately following income years.
(2) In the election, you must specify the percentage (if any) of the deduction that you will deduct in each of the income years.
(3) You must make the election before you lodge your * income tax return for the income year in which you made the gift.
(4) You must give a copy of the election to the * Environment Secretary before you lodge your * income tax return for the income year in which you made the gift.
(5) You may vary an election at any time. However, the variation can only change the percentage that you will deduct in respect of income years for which you have not yet lodged an * income tax return. You must give a copy of the variation to the * Environment Secretary before you lodge your * income tax return for the first income year to which the variation applies.
(6) The election and any variation must be in a form approved in writing by the * Environment Secretary.
(1) In each of the income years you specified in the election, you can deduct the amount corresponding to the percentage you specified for that year.
(2) You cannot deduct the amount that you otherwise would have been able to deduct for the gift in the income year in which you made the gift.
Subdivision 30 - DD -- Spreading heritage gift deductions over up to 5 income years
30 - 249C What this Subdivision is about
This Subdivision allows you to choose to spread deductions for heritage gifts over up to 5 income years.
You must give a copy of the election to the Heritage Secretary.
Table of sections
Operative provisions
30 - 249D Making an election
30 - 249E Effect of election
[This is the end of the Guide.]
(1) If you can deduct an amount under this Division for a gift:
(a) that is:
(i) to a fund, authority or institution that is set out in item 6.2.13 to 6.2.21 in the table in subsection 30 - 55(2); and
(ii) covered by item 1 or 2 of the table in section 30 - 15; and
(iii) of property valued by the Commissioner at more than $5,000; or
(b) that is covered by item 6 of the table in section 30 - 15;
you may make a written election to spread that deduction over the current income year and up to 4 of the immediately following income years.
(2) In the election, you must specify the percentage (if any) of the deduction that you will deduct in each of the income years.
(3) You must make the election before you lodge your * income tax return for the income year in which you made the gift.
(4) You must give a copy of the election to the * Heritage Secretary before you lodge your * income tax return for the income year in which you made the gift.
(5) You may vary an election at any time. However, the variation can only change the percentage that you will deduct in respect of income years for which you have not yet lodged an * income tax return. You must give a copy of the variation to the * Heritage Secretary before you lodge your * income tax return for the first income year to which the variation applies.
(6) The election and any variation must be in a form approved in writing by the * Heritage Secretary.
(1) In each of the income years you specified in the election, you can deduct the amount corresponding to the percentage you specified for that year.
(2) You cannot deduct the amount that you otherwise would have been able to deduct for the gift in the income year in which you made the gift.
19 Subsection 30 - 315(2) (after table item 112)
Insert:
112AA | Spreading deductions over income years | Subdivisions 30 - DB, 30 - DC and 30 - DD |
20 Subsection 30 - 315(2) (after table item 120)
Insert:
120A | Valuations by Commissioner | section 30 - 212 |
21 After subsection 70 - 90(1)
Insert:
(1A) If the disposal is the giving of a gift of property by you for which a valuation under section 30 - 212 is obtained, you may choose that the market value is replaced with the value of the property as determined under the valuation. You can only make this choice if the valuation was made no more than 90 days before or after the disposal.
22 Section 70 - 95
Omit "market value", substitute "amount".
23 After section 112 - 45
Insert:
112 - 48 Gifts acquired by associates
Gifts acquired by associates | |||
Item | In this situation: | Element affected: | See section: |
1 | A gift of property is covered by subsection 118 - 60(1) or (2) and the property is later * acquired by an associate for less than market value | First element of cost base and reduced cost base | 118 - 60 |
24 Section 116 - 25 (table item A1, at the end of the column headed "Special rules:")
Add:
If the disposal is a gift for which a section 30 - 212 valuation is obtained: see section 116 - 100 |
25 At the end of Division 116
Add:
(1) If CGT event A1 is the giving of a gift of property by you for which a valuation under section 30 - 212 is obtained, you may choose that the * capital proceeds from the event are replaced with the value of the property as determined under the valuation.
(2) You can only make this choice if the valuation was made no more than 90 days before or after the CGT event.
26 Section 118 - 60
After "under the Cultural Bequests Program", insert "or that would have been deductible under section 30 - 15 if it had not been a testamentary gift".
27 Section 118 - 60 (heading)
Repeal the heading, substitute:
28 At the end of section 118 - 60
Add:
(2) A * capital gain or * capital loss made from a gift of property that is deductible under section 30 - 15 because of item 4 or 5 in the table in that section is disregarded.
(3) However, subsection ( 2) does not apply if the gift was not a testamentary gift and the property is later * acquired for less than market value by the person who made the gift or an * associate of that person.
(4) If the gift was a testamentary gift and the property is later * acquired for less than market value by the deceased person's estate or a person (the deceased's associate ) who:
(a) is an * associate of the deceased person's estate; or
(b) was an associate of the deceased person immediately before the deceased person's death;
the * cost base and the * reduced cost base of the property in the hands of the estate or the deceased's associate is worked out under section 128 - 15 as if the property had passed in the estate to the estate or the deceased's associate.
29 Subsection 995 - 1(1)
Insert:
"Arts Secretary" means the Secretary of the Department that administers the National Gallery Act 1975 .
30 Subsection 995 - 1(1)
Insert:
"Environment Secretary" means the Secretary of the Department that administers the Environment Protection and Biodiversity Conservation Act 1999 .
31 Subsection 995 - 1(1)
Insert:
"Heritage Secretary" means the Secretary of the Department that administers the Australian Heritage Commission Act 1975 .
32 Subsection 995 - 1(1)
Insert:
"prescribed private fund" means a fund that is prescribed by the regulations for the purposes of this definition other than such a fund declared by the Treasurer, in writing, not to be a prescribed private fund.
Income Tax Assessment Act 1936
33 Subsection 304(4)
Omit "Gifts under the Cultural Bequests Program", substitute "Certain gifts".
34 Application
The amendments made by this Schedule apply to gifts made on or after 1 July 1999.