Private ruling: CGT event C2
Published: July 2013
Ruling period: Year ended 30 June 2013

Ruling: Q1: Has CGT event C2 happened in the income year ended 30 June 2013 under subsection 104-25(1) of the Income Tax Assessment Act 1977 (ITAA 1997) because company's A ownership of an intangible CGT asset has ended by the asset being abandoned or discharged? | A1: Yes

Relevant facts and circumstances: In order to protect the privacy and commercial in-confidence components of this private binding ruling the following summary is provided. The taxpayer acquired an intangible asset by entering into an agreement. The asset has been abandoned.

Relevant legislative provisions: Income Tax Assessment Act 1997 subsection 104-25(1) | Income Tax Assessment Act 1997 section 108-5

Reasons for decision: Summary: As company A abandoned its asset, CGT event C2 happened pursuant to paragraph 104-25(1)(d) of the ITAA 1997. The CGT event C2 happened at the time of the abandonment.