Document ID: chunk:federal_register_of_legislation:C2007A00079:clause:8_2:p2
Version: federal_register_of_legislation:C2007A00079
Segment Type: clause
Provision Reference: sch 8 cl 2 (pt 2/7)
Character Range: 51155–53827

year in which you pay it.

 (3) For the purposes of this Division, do not treat an amount as being paid under a *forestry managed investment scheme if:
 (a) you pay the amount in connection with a *CGT event in relation to a *forestry interest in the scheme; and
 (b) as a result of the CGT event:
 (i) another *participant in the scheme no longer holds the forestry interest; and
 (ii) you start to hold the forestry interest.

 (4) For the purposes of paragraph (1)(f), the condition in this subsection is satisfied unless:
 (a) 18 months have elapsed since the end of the income year in which an amount is first paid under the *forestry managed investment scheme by a *participant in the scheme; and
 (b) the trees intended to be established in accordance with the scheme have not all been established before the end of those 18 months.

 (5) You cannot deduct an amount under subsection (1) if:
 (a) you hold the *forestry interest mentioned in paragraph (1)(a) as an *initial participant; and
 (b) a *CGT event happens in relation to the forestry interest within 4 years after the end of the income year in which you first pay an amount under the scheme.
If you have already deducted it, your assessment may be amended to disallow the deduction.

 (6) Despite section 170 of the Income Tax Assessment Act 1936, the Commissioner may amend your assessment at any time within 2 years after the *CGT event, for the purpose of giving effect to subsection (5).

 (7) Sections 82KZMD and 82KZMF of the Income Tax Assessment Act 1936 do not affect the timing of a deduction under this section.

394‑15  Forestry managed investment schemes and related concepts

 (1) A *scheme is a forestry managed investment scheme if the purpose of the scheme is for establishing and tending trees for felling in Australia.

 (2) The entity that manages, arranges or promotes a *forestry managed investment scheme is the forestry manager of the scheme.

 (3) A forestry interest in a *forestry managed investment scheme is a right to benefits produced by the scheme (whether the right is actual, prospective or contingent and whether it is enforceable or not).

 (4) An entity that holds a *forestry interest in a *forestry managed investment scheme (other than the *forestry manager of the scheme) is a participant in the scheme.

 (5) A *participant in a *forestry managed investment scheme holds a *forestry interest in the scheme as an initial participant if:
 (a) the participant obtains the forestry interest from the *forestry manager of the scheme; and
 (b) the payment by the participant to obtain the forestry interest results in the establishment of trees.

394‑20  Payments on