Commonwealth Consolidated Acts Commonwealth Consolidated Acts
Income Tax Assessment Act 1997
1 Paragraph 122 - 25(4)(a)
Omit " * convertible note", substitute " * convertible interest".
2 Paragraph 122 - 25(4)(b)
Omit "convertible note", substitute "convertible interest".
3 Paragraph 122 - 135(4)(a)
Omit " * convertible note", substitute " * convertible interest".
4 Paragraph 122 - 135(4)(b)
Omit "convertible note", substitute "convertible interest".
5 Paragraph 126 - 50(3)(a)
Omit " * convertible note", substitute " * convertible interest".
6 Paragraph 126 - 50(3)(b)
Omit "convertible note", substitute "convertible interest".
7 Subsection 130 - 60(1) (table)
Repeal the table, substitute:
Conversion of a convertible interest | ||
Item | In this situation: | The modification is... |
1 | You * acquire * shares or units in a unit trust by converting a * convertible interest that is a * traditional security. | The first element of the * cost base of the shares or units is the sum of: (a) the cost base of the convertible interest at the time of conversion; and (b) any amount paid to convert the convertible interest, except to the extent that the amount is represented in the paragraph ( a) amount; and (c) all the amounts to be added under subsection ( 1A). The first element of their * reduced cost base is worked out similarly. |
2 | You * acquire * shares (except shares acquired under an * employee share scheme) by converting a * convertible interest that is not a * traditional security. | The first element of the * cost base of the shares is the sum of: (a) the cost base of the convertible interest at the time of conversion; and (b) any amount paid to convert the convertible interest, except to the extent that the amount is represented in the paragraph ( a) amount; and (c) all the amounts to be added under subsection ( 1A). The first element of their * reduced cost base is worked out similarly. |
3 | You * acquire units in a unit trust by converting a * convertible interest (except one that is a * traditional security) that was issued by the trustee of the unit trust after 28 January 1988. | The first element of the * cost base of the units is the sum of: (a) the cost base of the convertible interest at the time of conversion; and (b) any amount paid to convert the convertible interest, except to the extent that the amount is represented in the paragraph ( a) amount; and (c) all the amounts to be added under subsection ( 1A). The first element of their * reduced cost base is worked out similarly. |
8 After subsection 130 - 60(1A)
Insert:
(1B) The payment to convert the convertible interest can include giving property (see section 103 - 5).
9 Application of amendments
The amendments made by this Schedule apply to the conversion of a convertible interest on or after 1 July 2001.