Document ID: chunk:federal_register_of_legislation:C2024C00267:section:4:p26
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 4 (pt 26/64)
Character Range: 767478–770134

income or statutory income of a sovereign entity for an income year is not assessable income and is not exempt income if:
 (a) the amount is a return on an investment asset under a scheme; and
 (b) the sovereign entity acquired the investment asset on or before 27 March 2018 under the scheme; and
 (c) on or before 27 March 2018, the sovereign entity applied for a private ruling in relation to the scheme; and
 (d) before 1 July 2026, the Commissioner gave the entity a private ruling confirming that income from the investment asset was not subject to income tax, or withholding tax, because of the doctrine of sovereign immunity; and
 (e) the private ruling applied during at least part of the period:
 (i) starting on 27 March 2018; and
 (ii) ending before 1 July 2026;
  regardless of whether the private ruling started to apply before 27 March 2018, or ceased to apply before 1 July 2026; and
 (f) the scheme carried out is not materially different to the scheme specified in the private ruling; and
 (g) the income year is:
 (i) unless subparagraph (ii) applies—the 2025‑26 income year or an earlier income year; or
 (ii) if the last income year to which the private ruling relates is a later income year than the 2025‑26 income year—that later income year, or an earlier income year.

880‑10  Certain amounts of sovereign entity in respect of a scheme are not deductible if covered by a private ruling
  A sovereign entity cannot deduct an amount for an income year if:
 (a) the amount is a loss in respect of an investment asset under a scheme; and
 (b) the requirements in paragraphs 880‑5(b) to (g) are satisfied.

880‑15  Sovereign entity's capital gain from membership interest etc.—gain disregarded
  Disregard a capital gain of a sovereign entity from a CGT event that happens in relation to a CGT asset if:
 (a) the capital gain arises under a scheme; and
 (b) the CGT asset is a membership interest, non‑share equity interest or debt interest in another entity; and
 (c) the requirements in paragraphs 880‑5(b) to (g) are satisfied (on the assumption that references in those paragraphs to the investment asset were references to the CGT asset).

880‑20  Sovereign entity's capital loss from membership interest etc.—loss disregarded
  Disregard a capital loss of a sovereign entity from a CGT event that happens at a time if, on the assumption that the loss were a capital gain that happened at that time, the capital gain would be disregarded because of section 880‑15.

880‑25  Asset of sovereign entity—deemed sale and purchase
 (1) This section applies if:
 (a) a sovereign entity acquired an asset (other than money) on or before 27