Document ID: chunk:federal_register_of_legislation:C2010C00261:clause:1_2
Version: federal_register_of_legislation:C2010C00261
Segment Type: clause
Provision Reference: sch 1 cl 2
Character Range: 4909–6720

2  Before section 118‑180
Insert:

Roll‑overs under Subdivision 126‑A

118‑178  Previous roll‑over under Subdivision 126‑A

 (1) This section applies to you if:
 (a) you *acquired an *ownership interest in a *dwelling from another person (your former partner) as a result of a *CGT event (the earlier event); and
 (b) your former partner acquired the ownership interest on or after 20 September 1985; and
 (c) there was a roll‑over under Subdivision 126‑A (marriage breakdown roll‑over) for the earlier event; and
 (d) a CGT event (the later event) happens in relation to the ownership interest.

 (2) This Subdivision applies to the later event in the way that it would if:
 (a) your *ownership interest had commenced when your former partner's ownership interest commenced (the acquisition time); and
 (b) from the acquisition time until the time your former partner's ownership interest ended:
 (i) you had used the *dwelling in the same way that your former partner used it; and
 (ii) the dwelling had been your main residence for the same number of days as it was your former partner's main residence.

Example 1: Peter (the transferor spouse) is the 100% owner of a dwelling that he uses only as a main residence before transferring it to Susan (the transferee spouse). Susan uses the dwelling only as a rental property.

 Susan will be eligible for a partial main residence exemption having regard to how both Peter and Susan used the dwelling.

Example 2: Caroline (the transferor spouse) is the 100% owner of a dwelling that she uses only as a rental property before transferring it to David (the transferee spouse). David uses the dwelling only as a main residence.

 David will be eligible for only a partial main residence exemption having regard to how both Caroline and David used the dwelling.