Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p6
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 6/13)
Character Range: 2487316–2490119

that day; and
 (b) another (which the company is taken to have acquired before that day) representing the extent to which the partners' interests in the original asset were acquired by the partners before that day.
 (5) The first element of the *cost base of the separate asset that the company is taken to have *acquired on or after 20 September 1985 is the sum of the cost bases of the partners' interests in the original asset that they acquired on or after that day.
Note: There are special indexation rules for roll‑overs: see Division 114.
 (6) The first element of its *reduced cost base is worked out similarly.

Same‑asset roll‑over consequences for the company (creation case)

122‑205  Consequences for the company (creation case)
 (1) There are these consequences for the company in a creation case if the partners choose to obtain a roll‑over.
 (2) The first element of the created asset's *cost base (in the hands of the company) is the applicable amount from this table.

Creation case
Event No.      Applicable amount
D1             the total *incidental costs incurred that relate to the trigger event
D2             the total expenditure incurred to grant the option
D3             the total expenditure incurred to grant the right
F1             the total expenditure incurred on the grant, renewal or extension of the lease

  The expenditure can include a transfer of property: see section 103‑5.
 (3) The first element of the created asset's *reduced cost base (in the hands of the company) is worked out similarly.

Division 124—Replacement‑asset roll‑overs

Table of Subdivisions
 Guide to Division 124
124‑A General rules
124‑B Asset compulsorily acquired, lost or destroyed
124‑C Statutory licences
124‑D Strata title conversion
124‑E Exchange of shares or units
124‑F Exchange of rights or options
124‑I Change of incorporation
124‑J Crown leases
124‑K Depreciating assets
124‑L Prospecting and mining entitlements
124‑M Scrip for scrip roll‑over
124‑N Disposal of assets by a trust to a company
124‑P Exchange of a membership interest in an MDO for a membership interest in another MDO
124‑Q Exchange of stapled ownership interests for ownership interests in a unit trust
124‑R Water entitlements
124‑S Interest realignment arrangements

Guide to Division 124

124‑1  What this Division is about
      A replacement‑asset roll‑over allows you, in special cases, to defer the making of a capital gain or loss from one CGT event until a later CGT event happens. It involves your ownership of one CGT asset ending and you acquiring another one.

124‑5  How to find your way around this Division
 (1) First, find out if you can obtain a roll‑over when your ownership of one or more CGT assets ends and you acquire one or more CGT assets: see Subdivisions 124‑B to 124‑R.
Note: If