Document ID: chunk:federal_register_of_legislation:C2025C00029:section:7:p19
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 7 (pt 19/40)
Character Range: 1870390–1872867

104‑I—Australian residency ends

Table of sections
104‑160 Individual or company stops being an Australian resident: CGT event I1
104‑165 Exception for individuals
104‑170 Trust stops being a resident trust: CGT event I2

104‑160  Individual or company stops being an Australian resident: CGT event I1
 (1) CGT event I1 happens if you stop being an Australian resident.
 (2) The time of the event is when you stop being one.
 (3) You need to work out if you have made a *capital gain or a *capital loss for each *CGT asset that you owned just before the time of the event, except one that is *taxable Australian property:
 (a) covered by item 1 or 3 of the table in section 855‑15; or
 (b) covered by item 4 of that table because it is an option or right to *acquire a *CGT asset covered by item 1 or 3 of that table.
 (4) You make a capital gain if the *market value of the asset (at the time of the event) is more than its *cost base. You make a capital loss if that market value is less than the asset's *reduced cost base.
 (4A) If the asset is an *indirect Australian real property interest, or an option or right to acquire such an interest, this Part and Part 3‑3 apply to the asset as if the first element of the *cost base and *reduced cost base of the asset (just after the time of the event) were its *market value at the time of the event.
 (4B) Subsection (4A) does not apply if the *capital gain or *capital loss you make is disregarded under subsection (5) or (6), or subsection 104‑165(2).

Exceptions
 (5) A *capital gain or *capital loss you make is disregarded if you *acquired the asset before 20 September 1985.

104‑165  Exception for individuals

Choosing to disregard making a gain or loss
 (2) If you are an individual, you can choose to disregard making a *capital gain or a *capital loss from all *CGT assets covered by *CGT event I1.
 (3) If you do so choose, each of those assets is taken to be *taxable Australian property until the earlier of:
 (a) a *CGT event happening in relation to the asset, if the CGT event involves you ceasing to own the asset;
 (b) you again becoming an Australian resident.
Note: If you are an individual who was in Australia on 6 April 2006, and you remain an Australian resident from that day until you stop being one, and you were an Australian resident for less than 5 years during the 10 years before you stopped being one, see section 104‑166 of the Income Tax (Transitional Provisions) Act 1997.

104‑170  Trust