Document ID: chunk:federal_register_of_legislation:C2025C00029:section:18:p3
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 18 (pt 3/5)
Character Range: 1999222–2001820

another amount in many situations: see Division 112.
 (3) The second element is the *incidental costs you incurred. These costs can include giving property: see section 103‑5.
Note: There is one situation to do with options in which the incidental costs relating to the CGT event are modified: see section 112‑85.
 (4) The third element is the costs of owning the *CGT asset you incurred (but only if you *acquired the asset after 20 August 1991). These costs include:
 (a) interest on money you borrowed to acquire the asset; and
 (b) costs of maintaining, repairing or insuring it; and
 (c) rates or land tax, if the asset is land; and
 (d) interest on money you borrowed to refinance the money you borrowed to acquire the asset; and
 (e) interest on money you borrowed to finance the capital expenditure you incurred to increase the asset's value.
  These costs can include giving property: see section 103‑5.
Note: This element does not apply to personal use assets or collectables: see sections 108‑17 and 108‑30.
 (5) The fourth element is capital expenditure you incurred:
 (a) the purpose or the expected effect of which is to increase or preserve the asset's value; or
 (b) that relates to installing or moving the asset.
The expenditure can include giving property: see section 103‑5.
Note: There are 3 situations involving leases in which this element is modified: see section 112‑80.
 (5A) Subsection (5) does not apply to capital expenditure incurred in relation to goodwill.
 (6) The fifth element is capital expenditure that you incurred to establish, preserve or defend your title to the asset, or a right over the asset. (The expenditure can include giving property: see section 103‑5.)

Assume a CGT event for purposes of working out cost base at a particular time
 (12) If:
 (a) it is necessary to work out the *cost base at a particular time; and
 (b) a *CGT event does not happen in relation to the asset at or just after that time;
assume, for the purpose only of working out the cost base at the particular time, that such an event does happen in relation to the asset at or just after that time.
Note 1: For example, in order to apply subsection 110‑37(1), it is necessary for there to be a CGT event.
Note 2: The assumption that a CGT event happens does not have any consequence beyond that stated. For example, it does not mean that the asset is afterwards to be treated as having been acquired at the particular time with a first element of cost base equal to all of its former cost base elements.

110‑35  Incidental costs
 (1) There are a number of incidental costs you