Commonwealth Consolidated Acts

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INCOME TAX ASSESSMENT ACT 1997 - SECT 247.10

What capital protected borrowing and capital protection are

  (1)   An * arrangement under which a * borrowing is made, or credit is provided, is a capital protected borrowing if the borrower is wholly or partly protected against a fall in the * market value of a thing (the protected thing ) to the extent that:

  (a)   the borrower uses the amount borrowed or credit provided to acquire the protected thing; or

  (b)   the borrower uses the protected thing as security for the borrowing or provision of credit.

  (2)   That protection is called capital protection .


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