INCOME TAX ASSESSMENT ACT 1997 - SECT 58.5 Application of Division
INCOME TAX ASSESSMENT ACT 1997 - SECT 58.5
Application of Division(1) This Division applies in 2 situations.
(2) The first (an entity sale situation ) is where:
(a) at a particular time on or after 1 July 2001, an entity is an * exempt entity; and
(b) just after that time, the entity's * ordinary income or * statutory income becomes to any extent assessable income.
(3) In an entity sale situation:
(a) the entity is a transition entity ; and
(b) the time when the entity's * ordinary income or * statutory income becomes to that extent assessable is the transition time ; and
(c) the income year in which the * transition time occurs is the transition year for the entity; and
(d) the * depreciating assets the * transition entity * held just before the transition time are privatised assets .
(4) The second (an asset sale situation ) is where:
(a) at a particular time on or after 1 July 2001, an entity (the purchaser ) whose * ordinary income or statutory income is to any extent assessable acquires a * depreciating asset from the Commonwealth, a State, a Territory or an * exempt entity; and
(b) the asset is acquired in connection with the acquisition of a * business from the Commonwealth, the State, the Territory or the exempt entity.
(5) In an asset sale situation:
(a) the Commonwealth, the State, the Territory or the * exempt entity is the tax exempt vendor ; and
(b) the time when the * depreciating asset is acquired is the acquisition time ; and
(c) the income year in which the * acquisition time occurs is the acquisition year ; and
(d) each * depreciating asset the purchaser acquires from the *
tax exempt vendor at the acquisition time is a privatised asset .