Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) The first element of the cost base and reduced cost base of the new licence that is covered under subsection 124 - 140(3) is the total of the cost bases of the original licences.
Note: For the purposes of this section, the cost base of each original licence that has an ineligible part is reduced in accordance with subsection 124 - 150(4) of the Income Tax Assessment Act 1997 .
(2) The cost base and reduced cost base of any new licence that is not covered under subsection 124 - 140(3) is nil.
(3) Subsections (4) and (5) apply if:
(a) there was more than one original licence; and
(b) some of the original licences were acquired before 20 September 1985; and
(c) subsection 124 - 165(2) of the Income Tax Assessment Act 1997 applies in relation to the new licence that is covered under subsection 124 - 140(3) (splitting that licence into 2 separate CGT assets).
(4) For the purposes of subsection (2), treat the asset that is taken under paragraph 124 - 165(2)(a) of that Act to have been acquired on or after 20 September 1985 as a new licence that is covered under subsection 124 - 140(3) of this Act.
(5) Work out the first element of the cost base and reduced cost base of that asset in accordance with subsection 124 - 165(3) of that Act.
Table of sections
124 - 510 Application of Subdivision 124 - I of the Income Tax Assessment Act 1997