Commonwealth Consolidated Acts

INCOME TAX (TRANSITIONAL PROVISIONS) ACT 1997 - SECT 70.105

  (1)   Section   70 - 105 (Death of owner) of the Income Tax Assessment Act 1997 applies to trading stock that devolves as a result of a person dying on or after 1   July 1997.

Transitional provision if that section affects an assessment for 1996 - 97

  (2)   The value of an item to which subsection   (3) or (4) of that section applies is to be worked out using the rules in the Income Tax Assessment Act 1936 (and not the rules in Subdivision   70 - C of the Income Tax Assessment Act 1997 ) if:

  (a)   that section affects an assessment for the 1996 - 97 year of income under the Income Tax Assessment Act 1936 ; and

  (b)   an election is made under subsection   (3) or (4) of that section to value the item at an amount other than its market value.

Note:   Section   70 - 105 of the Income Tax Assessment Act 1997   may affect an assessment for the 1996 - 97 income year if an entity on which the item devolves has a 1996 - 97 income year ending on or after 1   July 1997.