Document ID: chunk:federal_register_of_legislation:C2004C00958:clause:1_6:p8
Version: federal_register_of_legislation:C2004C00958
Segment Type: clause
Provision Reference: sch 1 cl 6 (pt 8/10)
Character Range: 228475–231068

in connection with a transaction that relates to more than one *CGT event, the capital proceeds from each event are so much of the payment as is reasonably attributable to that event.

Example: You sell a block of land and a boat for a total of $100,000. This transaction involves 2 CGT events.

 The $100,000 must be divided among the 2 events. The capital proceeds from the disposal of the land are so much of the $100,000 as is reasonably attributable to it. The rest relates to the boat.

 (2) If you receive a payment in connection with a transaction that relates to one *CGT event and something else, the capital proceeds from the event are so much of the payment as is reasonably attributable to the event.

Example: You are an architect. You receive $70,000 for selling a block of land and giving advice to the new owner. This transaction involves one CGT event: the disposal of the land.

 The capital proceeds from the disposal of the land is so much of the $70,000 as is reasonably attributable to that disposal.

 (3) The payment can include giving property: see section 103‑5.

116‑45  Non‑receipt rule: modification 3

 (1) The *capital proceeds from a *CGT event are reduced if:

 (a) you are not likely to receive some or all (the unpaid amount) of those proceeds; and

 (b) this is not because of anything you (or your *associate) have done or omitted to do; and

 (c) you took all reasonable steps to get the unpaid amount paid.

  The *capital proceeds are reduced by the unpaid amount.

Note: This rule exists because the general rules treat you as having received an amount when you are entitled to receive it.

Example You sell a painting to another entity for $5,000 (the capital proceeds). You agree to accept monthly instalments of $100.

 You receive $2,000, but then the other entity stops making payments. It becomes clear that you are not likely to receive the remaining $3,000. The capital proceeds are reduced to $2,000.

 (2) There is a further consequence if:

 (a) those proceeds are reduced by the unpaid amount; but

 (b) you later receive a part of that amount.

  Those proceeds are increased by that part.

 (3) This Part and Part 3‑3 apply to the debt owed to you (the unpaid amount) as if it were not a *CGT asset.

116‑50  Repaid rule: modification 4

 (1) The *capital proceeds from a *CGT event are reduced by:

 (a) any part of them that you repay; or

 (b) any compensation you pay that can reasonably be regarded as a repayment of part of them.

However, the *capital proceeds are not reduced by any part of the payment