Commonwealth Consolidated Acts

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INCOME TAX ASSESSMENT ACT 1997 - SECT 124.720

Part of original entitlement excised

             (1)  There is partial roll-over if you * acquired the original entitlement on or after 20 September 1985 and:

                     (a)  the land to which the new entitlement relates is different in area to the land the subject of the original entitlement because a part (the excised part ) of the land to which the original entitlement related was excised or you relinquished it; and

                     (b)  you received a payment for the expiry or surrender of the original entitlement.

The payment can include giving property: see section 103-5.

Note:          Section 124-730 sets out the effect on your cost base.

             (2)  There is no roll-over for the excised part. The * cost base of the excised part is so much of the * cost base of the original entitlement as is attributable to the excised part.

                   Its * reduced cost base is worked out similarly.

Note:          You may make a capital gain or loss on the excised part because of CGT event C2.



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