Document ID: chunk:federal_register_of_legislation:C2013C00581:clause:2_4
Version: federal_register_of_legislation:C2013C00581
Segment Type: clause
Provision Reference: sch 2 cl 4
Character Range: 48401–50332

4  After subsection 152‑10(1)
Insert:

Passively held assets—affiliates and entities connected with you
 (1A) The conditions in this subsection are satisfied in relation to the *CGT asset in the income year if:
 (a) your *affiliate, or an entity that is *connected with you, is a *small business entity for the income year; and
 (b) you do not carry on a *business in the income year (other than in partnership); and
 (c) if you carry on a business in partnership—the CGT asset is not an interest in an asset of the partnership; and
 (d) in any case—the small business entity referred to in paragraph (a) is the entity that, at a time in the income year, carries on the business (as referred to in subparagraph 152‑40(1)(a)(ii) or (iii) or paragraph 152‑40(1)(b)) in relation to the CGT asset.
Note 1: For determining whether an entity is a small business entity, see Subdivision 328‑C (as affected by section 152‑48).
Note 2: For businesses that are winding up, see section 152‑49 and subsection 328‑110(5).

Passively held assets—partnerships
 (1B) The conditions in this subsection are satisfied in relation to the *CGT asset in the income year if:
 (a) you are a partner in a partnership in the income year; and
 (b) the partnership is a *small business entity for the income year; and
 (c) you do not carry on a *business in the income year (other than in partnership); and
 (d) the CGT asset is not an interest in an asset of the partnership; and
 (e) the business you carry on as a partner in the partnership referred to in paragraph (a) is the business that you, at a time in the income year, carry on (as referred to in subparagraph 152‑40(1)(a)(i) or paragraph 152‑40(1)(b)) in relation to the CGT asset.
Note 1: For determining whether an entity is a small business entity, see Subdivision 328‑C (as affected by section 152‑48).
Note 2: For businesses that are winding up, see section 152‑49 and subsection 328‑110(5).