Commonwealth Numbered Acts

INCOME TAX ASSESSMENT AMENDMENT (CAPITAL GAINS) ACT 1986 No. 52 of 1986 - SECT 28

28. Section 221AD of the Principal Act is amended-

   (a)  by inserting after sub-section (1) the following sub-section:

"(1A) The reference in sub-section (1) to the income tax assessed in respect
of the taxable income of a company of the year next preceding the year of
income shall, if by virtue of Part IIIA the assessable income of the company
of that next preceding year included a net capital gain within the meaning of
that Part, be construed as a reference to the income tax that would have been
payable in respect of the taxable income of the company of that year if that
net capital gain had not been so included."; and

   (b)  by inserting after sub-section (2A) the following sub-section:

"(2AA) Any estimate made for the purposes of this section of the amount of
income tax that will be payable by a company in respect of its taxable income
of the year of income shall be based on the assumption that the assessable
income of the company of the year of income will not include any net capital
gain within the meaning of Part IIIA.".