Document ID: chunk:federal_register_of_legislation:C2025C00029:section:18:p2
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 18 (pt 2/5)
Character Range: 1996045–1999469

adjustment                                                                                                      104‑270
L1                                                      Reduction under section 705‑57 in tax cost setting amount of assets of entity becoming subsidiary member of consolidated group or MEC group  104‑500
L2                                                      Amount remaining after step 3A etc. of joining allocable cost amount is negative                                                             104‑505
L3                                                      Tax cost setting amounts for retained cost base assets exceed joining allocable cost amount                                                  104‑510
L4                                                      No reset cost base assets against which to apply excess of net allocable cost amount on joining                                              104‑515
L5                                                      Amount remaining after step 4 of leaving allocable cost amount is negative                                                                   104‑520
L6                                                      Errors in tax cost setting amounts for entity joining consolidated group or MEC group                                                        104‑525
L8                                                      Reduction in tax cost setting amount for reset cost base assets on joining cannot be allocated                                               104‑535

Subdivision 110‑A—Cost base

Table of sections
110‑25 General rules about cost base
110‑35 Incidental costs
110‑36 Indexation

What does not form part of the cost base
110‑37 Expenditure forming part of cost base or element
110‑38 Exclusions
110‑40 Assets acquired before 7.30 pm on 13 May 1997
110‑43 Partnership interests acquired before 7.30 pm on 13 May 1997
110‑45 Assets acquired after 7.30 pm on 13 May 1997
110‑50 Partnership interests acquired after 7.30 pm on 13 May 1997
110‑53 Exceptions to application of sections 110‑45 and 110‑50
110‑54 Debt deductions disallowed by thin capitalisation rules

110‑25  General rules about cost base
 (1) The cost base of a *CGT asset consists of 5 elements.
Note 1: You need to keep records of each element: see Division 121.
Note 2: The cost base is reduced by net input tax credits: see section 103‑30.
Note 3: An amount that makes up all or part of an element of the cost base of an asset may be determined under section 230‑505, if the amount is provided for acquiring a thing, and you start or cease to have a Division 230 financial arrangement as consideration for the acquisition of the thing.

5 elements of the cost base
 (2) The first element is the total of:
 (a) the money you paid, or are required to pay, in respect of *acquiring it; and
 (b) the *market value of any other property you gave, or are required to give, in respect of acquiring it (worked out as at the time of the acquisition).
Note 1: There are special rules for working out when you are required to pay money or give other property: see section 103‑15.
Note 2: This element is replaced with another amount in many situations: see Division 112.
 (3) The second element is the *incidental costs you incurred. These costs can include giving property: see section 103‑5.
Note: There is one situation to do with options in which the incidental