Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 104.107B

  (1)   This section applies if you are a * member of an * AMIT in respect of an income year because you have a * CGT asset that is your unit or your interest in the AMIT.

  (2)   If the * CGT asset's * AMIT cost base net amount for the income year is the excess mentioned in paragraph   104 - 107C(a):

  (a)   in a case where that AMIT cost base net amount exceeds the * cost base of the asset--reduce the cost base and * reduced cost base of the asset to nil; or

  (b)   otherwise--reduce the cost base and reduced cost base of the asset by that AMIT cost base net amount.

Note:   If that AMIT cost base net amount exceeds the cost base of the asset, CGT event E10 will happen (see section   104 - 107A).

  (3)   If the * CGT asset's * AMIT cost base net amount for the income year is the shortfall mentioned in paragraph   104 - 107C(b), increase the * cost base and * reduced cost base of the asset by that AMIT cost base net amount.

  (4)   The time of the reduction or increase is:

  (a)   unless paragraph   (b) applies--just before the end of the income year; or

  (b)   if a * CGT event happens to the * CGT asset at a time when you hold it before the end of the income year--just before the time of that CGT event.