Document ID: chunk:federal_register_of_legislation:C2025C00014:section:25a:p4
Version: federal_register_of_legislation:C2025C00014
Segment Type: section
Provision Reference: s 25A (pt 4/6)
Character Range: 178499–181212

any) of the proceeds of sale as, in the opinion of the Commissioner, is appropriate shall, for the purposes of this Act, be deemed to be profit arising from the sale by the taxpayer of the property.
 (10) For the purposes of the application of subsection (9) in relation to the sale of property (in this subsection referred to as the relevant property) by a taxpayer:
 (a) if:
 (i) the relevant property is deemed by subsection (2) to have been acquired by the taxpayer for the purpose of profit‑making by sale;
 (ii) the property (in this paragraph referred to as the underlying property) to which sub‑subparagraph (2)(b)(i)(A) or (2)(b)(ii)(A), as the case may be, applies was actually acquired for the purpose of profit‑making by sale by the company, partnership or trustee referred to in that sub‑subparagraph (which company, partnership or trustee is in this paragraph referred to as the underlying owner); and
 (iii) the relevant property was not transferred to the taxpayer in the prescribed manner;
  the Commissioner shall have regard to the extent to which, in the Commissioner's opinion, the proceeds of sale of the relevant property are attributable to the amount of any increase in the value of the underlying property during the period (in this paragraph referred to as the relevant period) when the underlying property was held by the underlying owner and the relevant property was held by the taxpayer reduced by the amount of any capital expenditure incurred by the underlying owner in respect of the underlying property during the relevant period (not including expenditure in respect of which a deduction has been allowed, or is allowable, to the underlying owner);
 (b) if the relevant property is deemed by subsection (5) to have been acquired by the taxpayer for the purpose of profit‑making by sale and the relevant property was actually acquired for the purpose of profit‑making by sale by the person (in this paragraph referred to as the transferor) who transferred the relevant property to the taxpayer in the prescribed manner—the Commissioner shall have regard to the extent to which the amount (if any) that would have been included in the assessable income of the transferor if the transferor had sold the relevant property at the time when it was sold by the taxpayer for an amount of consideration equal to the amount of the consideration received or receivable by the taxpayer in respect of the sale of the relevant property by the taxpayer exceeds the sum of:
 (i) any expenditure incurred by the taxpayer in respect of the relevant property, not including:
 (A) any consideration given by the taxpayer in respect of the transfer of the relevant property to the taxpayer; or
 (B)