Document ID: chunk:federal_register_of_legislation:C2004A02159:body:0:p7
Version: federal_register_of_legislation:C2004A02159
Segment Type: other
Provision Reference: 
Character Range: 14408–17044

a consideration equal to the market value of the property immediately before the time when the change occurred or the depreciated value of the property immediately before that time, whichever is the less; and
          (e) the person or persons who owned the property after the change had, at the time when the change occurred, acquired the property at a cost equal to the amount specified in the agreement.
    "(3) A reference in sub-section (2) to the market value of property at a particular time shall, if there is insufficient evidence of the market value of the property at that time, be read as a reference to such amount as, in the opinion of the Commissioner, is fair and reasonable.".
(2) The amendments made by sub-section (1) apply in relation to a change in the ownership of, or in the interests of persons in, property after 12 June 1979 other than a change occurring in consequence of an agreement entered into on or before that date.

Acquisition of depreciated property
10. (1) Section 60 of the Principal Act is amended by omitting sub-section (2) and substituting the following sub-section:
"(2) This section does not apply where the Commissioner is of the opinion that the circumstances are such that depreciation in respect of the property should be calculated without regard to this section.".
(2) The amendment made by sub-section (1) applies in relation to a taxpayer in relation to property acquired by the taxpayer after 12 June 1979 otherwise than under a contract entered into on or before that date.

Definition of depreciated value
11. (1) Section 62 of the Principal Act is amended by adding at the end thereof the following sub-section:
"(3) For the purposes of the application of sub-section (1) in relation to a person in relation to a unit of property in a case where—
     (a) sub-section (2) does not apply in relation to that person in relation to that unit;
     (b) the amount that, but for this sub-section, would be the cost of the unit for the purposes of sub-section (1) is attributable, in whole or in part, to a transaction to which that person was a party;
     (c) the Commissioner is satisfied that, having regard to any connection between any 2 or more of the parties to the transaction and to any other relevant circumstances, those parties were not dealing with each other at arm's length in relation to the transaction; and
     (d) the Commissioner is satisfied that the amount that, but for this sub-section, would be the cost of the unit for the purposes of sub-section (1) is greater than the amount (in this sub-section referred to as the 'arm's length amount') that would have