(1) This section applies if:
(a) you chose a roll-over under Subdivision 152-E of the Income Tax Assessment Act 1997 (or under former Division 123 of that Act) for a capital gain you made for an income year from a CGT event that happened in relation to a CGT asset before the commencement of this section; and
(b) you did not include the capital gain in working out your net capital gain for that year; and
(c) assuming that you had acquired a replacement asset before the CGT event, you would have been entitled to choose that roll-over.
(2) The capital gain is disregarded for the purposes of the Income Tax Assessment Act 1997 .
(3) If you acquired a replacement asset within the period (the replacement asset period ) ending 2 years after the last CGT event in the income year for which you obtained the roll-over but the total of the first and second elements of the cost base of that asset is less than the amount of the capital gain that would, apart from this subsection, be disregarded, the amount to be disregarded is that total.
(4) However, if you do not acquire a replacement asset within the replacement asset period, that Act applies to you as if you had never chosen the roll-over, and the capital gain is not disregarded.
(5) The Commissioner may extend the replacement asset period.