Document ID: chunk:federal_register_of_legislation:C2010C00615:clause:1_18:p5
Version: federal_register_of_legislation:C2010C00615
Segment Type: clause
Provision Reference: sch 1 cl 18 (pt 5/23)
Character Range: 32835–35381

and
 (b) the company does not have any losses of the kinds referred to in paragraphs 165‑115R(3)(a), (b), (c) and (d) and 165‑115S(3)(a) and (b); and
 (c) the test time is not a changeover time in relation to the company under Subdivision 165‑CC; and
 (d) if the test time were such a changeover time, it would be reasonable for the company to conclude that it would not have an unrealised net loss at that time under section 165‑115E;
the test time is taken not to be an alteration time in relation to the company.

Application to CGT events other than disposals

 (5) This Subdivision applies to a *CGT event (other than a *disposal) happening in relation to a CGT asset (for example, an interest in a company that is constituted by an equity or debt):
 (a) in the same way as it applies to a disposal of a CGT asset; and
 (b) as if the asset had been disposed of at the time when the CGT event happens.

165‑115L  Alteration time—alteration in ownership of company

 (1) A time (the test time) is an alteration time in respect of a company if:
 (a) persons who had *more than 50% of the voting power in the company at the reference time do not have more than 50% of that voting power immediately after the test time; or
 (b) persons who had rights to *more than 50% of the company's dividends at the reference time do not have rights to more than 50% of those dividends immediately after the test time; or
 (c) persons who had rights to *more than 50% of the company's capital distributions at the reference time do not have rights to more than 50% of those distributions immediately after the test time.

Note 1: See section 165‑150 to work out who had more than 50% of the voting power in the company.

Note 2: See section 165‑155 to work out who had rights to more than 50% of the company's dividends.

Note 3: See section 165‑160 to work out who had rights to more than 50% of the company's capital distributions.

 (2) The reference time is:
 (a) if no alteration time occurred in respect of the company before the *test time—the commencement time; or
 (b) otherwise—the time immediately after the last alteration time.

 (3) To work out whether paragraph (1)(a), (b) or (c) applied at a particular time, apply the primary test unless subsection (4) requires the alternative test to be applied.

Note: For the primary test see subsections 165‑150(1), 165‑155(1) and 165‑160(1).

 (4) Apply the alternative test if one or more other companies beneficially owned *shares or interests in shares in the company at the reference time.

Note: