(1) An indirect value shift does not have consequences under Division 727 of the Income Tax Assessment Act 1997 if, to the extent of at least 95% of their total market value, the greater benefits consist entirely of:
(a) a right to have services that are covered by section 727-240 of that Act provided directly by the losing entity to the gaining entity; or
(b) services that are covered by that section and have been, are being, or are to be, so provided;
or both, and the IVS time for the scheme that results in the indirect value shift is before:
(c) unless paragraph (d) applies--the start of the losing entity's 2003-2004 income year; or
(d) if the losing entity's 2002-2003 income year ends before 30 June 2003--the start of the losing entity's 2004-2005 income year.
How subsection (1) applies to a presumed indirect value shift
(2) For the purposes of section 727-850 (about a presumed indirect value shift affecting a realisation event) of the Income Tax Assessment Act 1997 , subsection (1) of this section applies to the presumed indirect value shift:
(a) on the assumptions set out in subsection 727-865(3) of that Act; and
(b) as if the exclusion in subsection (1) of this section were an exclusion in Subdivision 727-C of that Act.