Document ID: chunk:federal_register_of_legislation:C2025C00029:section:8:p13
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 8 (pt 13/30)
Character Range: 4194546–4197056

or low value arrangements

Certain short term or low value arrangements generally excluded
 (1) This Division does not apply to you and an asset that is being *put to a tax preferred use under a particular *arrangement if:
 (a) the *arrangement period for the *tax preferred use of the asset does not exceed:
 (i) 5 years if the asset is real property and the tax preferred use of the asset is a lease; or
 (ii) 3 years in any other case; or
 (b) at the start of the arrangement period, the total of the nominal values of all the *financial benefits that have been, will be or can reasonably be expected to be, provided to you (or a *connected entity):
 (i) by *members of the tax preferred sector; and
 (ii) in relation to the tax preferred use of the asset or any other asset that is being, or is to be, put to a tax preferred use under the arrangement;
  does not exceed:
 (iii) $50 million if the asset is real property and the tax preferred use of the asset is a lease; or
 (iv) $30 million in any other case; or
 (c) at the start of the arrangement period, the total of the values of all the assets that are put to a tax preferred use under the arrangement does not exceed:
 (i) $40 million if the asset is real property and the tax preferred use of the asset is a lease; or
 (ii) $20 million in any other case.
This subsection has effect subject to section 250‑35.
 (2) The amounts referred to in paragraphs (1)(b) and (c) are indexed annually.
Note: Subdivision 960‑M shows you how to index amounts.

250‑35  Exceptions to section 250‑30

Debt interests
 (1) Section 250‑30 does not apply if the *arrangement (either alone or together with any arrangement in relation to the *tax preferred use of the asset or the provision of *financial benefits in relation to the tax preferred use of the asset) is a *debt interest.
 (2) In applying subsection (1), disregard subsection 974‑130(4).

Member of tax preferred sector having certain rights in relation to the asset
 (3) Section 250‑30 does not apply if:
 (a) a *member of the tax preferred sector has:
 (i) a right, obligation or contingent obligation to purchase or acquire the asset or a legal or equitable interest in the asset; or
 (ii) a right to require the transfer of the asset or a legal or equitable interest in the asset; or
 (iii) a residual or reversionary interest in the asset that will arise or become exercisable at or after the end of the *arrangement period; and
 (b) the consideration for the purchase, acquisition or transfer of the