Document ID: chunk:federal_register_of_legislation:C2004C00958:clause:1_3:p19
Version: federal_register_of_legislation:C2004C00958
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 19/22)
Character Range: 408730–411426

that allows the lessee to mine for minerals on the land; or

 (c) an interest in a thing referred to in paragraph (a) or (b).

124‑715  Original entitlement differs in area from new entitlement

 (1) Even if the new entitlement relates to different land to that to which the original entitlement related, this Subdivision applies as if it relates to the same land in these cases:

 (a) the difference in area is not significant;

 (b) the difference in market value is not significant;

 (c) the new entitlement was granted to correct errors in or omissions from the original entitlement;

 (d) it is otherwise reasonable for this Subdivision to apply in that way.

 (2) However, the rule in subsection (1) does not apply if section 124‑720 applies.

124‑720  Part of original entitlement excised

 (1) There is partial roll‑over if you *acquired the original entitlement on or after 20 September 1985 and:

 (a) the land to which the new entitlement relates is different in area to the land the subject of the original entitlement because a part (the excised part) of the land to which the original entitlement related was excised or you relinquished it; and

 (b) you received a payment for the expiry or surrender of the original entitlement.

The payment can include giving property: see section 103‑5.

Note: Section 124‑730 sets out the effect on your cost base.

 (2) There is no roll‑over for the excised part. The *cost base of the excised part is so much of the *cost base of the original entitlement as is attributable to the excised part.

  Its *reduced cost base is worked out similarly.

Note: You may make a capital gain or loss on the excised part because of CGT event C2.

124‑725  Treating parts of new entitlement as separate assets

 (1) Each part of a *prospecting entitlement or *mining entitlement that is part of the new entitlement is taken to be a separate *CGT asset to the extent that it relates to:

 (a) land to which a prospecting entitlement or mining entitlement (that was part of the original entitlement) related where you *acquired the entitlement before 20 September 1985; and

 (b) land to which a prospecting entitlement or mining entitlement (that was part of the original entitlement) related where you acquired the entitlement on or after 20 September 1985; and

 (c) other land.

 (2) You are taken to have *acquired each asset that is a separate *CGT asset because of paragraph (1)(a) before 20 September 1985.

124‑730  What is the roll‑over?

 (1) The roll‑over is mainly as specified in Subdivision 124‑A.

 (2) However, you work out the *cost base and *reduced cost base of *CGT assets (that you are not taken to have