Document ID: chunk:federal_register_of_legislation:C2011A00147:clause:1_4:p1
Version: federal_register_of_legislation:C2011A00147
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 1/4)
Character Range: 7591–10243

4  After section 118‑210
Insert:

Special disability trusts

118‑215  What the following provisions are about

      The trustee of a trust that is or has been a special disability trust may be eligible for an exemption to the extent that a dwelling is the main residence of the individual who is or has been the principal beneficiary of the trust.
      Another beneficiary of the trust may be eligible for an exemption if the dwelling is distributed to that other beneficiary at or after the principal beneficiary's death.
Note: The following provisions also apply to the exemption about compulsory acquisitions of adjacent land (see section 118‑245).

118‑218  Exemption available to trustee—main case
 (1) This section applies to you in relation to a *CGT event if:
 (a) the CGT event happens in relation to a *CGT asset; and
 (b) just before the CGT event happens, you hold the CGT asset as trustee of a trust; and
 (c) the trust was a *special disability trust on at least one of the days on which you held the CGT asset.
 (2) For the purposes of applying this Subdivision in relation to the *CGT event, on each day to which paragraph (1)(c) applies:
 (a) treat yourself as holding the *CGT asset personally (and not as trustee of the trust); and
 (b) if the *principal beneficiary of the trust uses the applicable *dwelling in a particular way on that day—treat yourself as using the dwelling in that way on that day.
Example: If the principal beneficiary uses the dwelling as his or her main residence on the day, then treat yourself as using the dwelling as your main residence on that day.
Note 1: The CGT asset need not be a dwelling (or an ownership interest in a dwelling) if it is land adjacent to a dwelling, an adjacent structure of a flat or home unit, or an ownership interest in such an asset.
Note 2: If the trustee is an individual, the individual's actual circumstances are ignored. Similarly, this subsection does not affect how this Subdivision applies for the individual's actual circumstances. See section 960‑100.
 (3) If you are not an individual, treat yourself as being an individual for the purposes of applying this Subdivision in relation to the *CGT event.
 (4) If the *CGT asset, or your *ownership interest in it, *passed to you as a beneficiary in a deceased estate:
 (a) treat the deceased as never having used the applicable *dwelling for the *purpose of producing assessable income; and
 (b) treat the dwelling as being the deceased's main residence on each day during the deceased's *ownership period;
for the purposes of applying this Subdivision in relation to the *CGT event.

118‑220  Exemption available to