Private ruling: Non-cash business benefit
Date of advice: 12 December 2017
Published: May 2018

Ruling: In order to protect the privacy and commercial in-confidence components of this private binding ruling the following summary is provided. | The taxpayer sought a ruling in regards to section 21A of the Income Tax Assessment Act 1936 (ITAA 1936). The Commissioner ruled that the asset acquired by the taxpayer constituted a ‘non-cash business benefit’ under section 21A of the ITAA 1936 as it was income derived by the taxpayer and that the benefit shall be brought into account at its arms-length value reduced by the recipient’s contribution.


Relevant legislative provisions: Section 21A of the ITAA 1936