Document ID: chunk:federal_register_of_legislation:C2004C00958:clause:1_3:p5
Version: federal_register_of_legislation:C2004C00958
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 5/22)
Character Range: 374983–377710

the new units) in substitution for the original rights; or

 (b) issue you with a new option (relating to the new units) in substitution for the original option.

 (5) You must receive nothing else in substitution for the original rights or original option.

 (6) The market value of the new rights or new option just after it was issued must be at least equal to the market value of the original rights or original option just before it was cancelled.

 (7) One of these requirements must be satisfied:

 (a) you must be an Australian resident at the time of the cancellation; or

 (b) if you are not an Australian resident at that time—the original rights or original option have the *necessary connection with Australia.

Note: The roll‑over consequences are set out in Subdivision 124‑A. The original asset is the original rights or original option. The new asset is the new rights or new option.

Subdivision 124‑G—Exchange of shares in one company for shares in another company

Guide to Subdivision 124‑G

124‑350  What this Subdivision is about

      This Subdivision sets out when you can obtain a roll‑over if:

           you own shares in a company; and

           there is a reorganisation of its affairs so that you become the owner of new shares in another company.

Table of sections

124‑355 Summary of rules

Disposal case

124‑360 Disposal of shares in one company for shares in another one
124‑365 Other requirements to be satisfied

Redemption or cancellation case

124‑370 Redemption or cancellation of shares in one company for shares in another one
124‑375 Other requirements to be satisfied

Rules applying to both cases

124‑380 Requirements to be satisfied in both cases

Consequences for the interposed company

124‑385 Consequences for the interposed company

124‑355  Summary of rules

 (1) This Subdivision deals with 2 cases in which you can choose to obtain a roll‑over because of the reorganisation of a company's affairs.

Note: Section 103‑25 tells you when you have to make the choice.

 (2) The first case is if you dispose of shares in one company to another company and the other company issues you with new shares. You can find the specific rules relevant to this case in sections 124‑360 and 124‑365.

 (3) The second case is if your shares in one company are redeemed or cancelled and another company issues you with new shares in return. You can find the specific rules relevant to this case in sections 124‑370 and 124‑375.

 (4) There are some rules that apply in both cases: see section 124‑380.

 (5) There are also consequences for the other company if you can choose to obtain the roll‑over: see section 124‑385.

[This is the end of the Guide.]