Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p74
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 74/79)
Character Range: 5025971–5028691

are incurred by a life insurance company directly in respect of *complying superannuation assets in relation to a period during which the assets are complying superannuation assets; or
 (c) any liabilities to pay *PAYG instalments, or income tax, that are attributable to the company's *complying superannuation assets;
the life insurance company must pay, from the complying superannuation asset pool, any amounts required to discharge the liabilities, or amounts equal to the expenses (as appropriate).

320‑200  Consequences of transfer of assets to or from complying superannuation asset pool
 (1) This section applies if:
 (a) an asset (other than money) is transferred from a *complying superannuation asset pool under subsection 320‑180(1) or 320‑195(2) or (3); or
 (b) an asset (other than money) is transferred to a complying superannuation asset pool under subsection 320‑180(3) or section 320‑185.
 (2) In determining:
 (a) for the purposes of this Act (other than Parts 3‑1 and 3‑3) whether an amount is included in, or can be deducted from, the assessable income of a *life insurance company in respect of the transfer of the asset; or
 (b) for the purposes of Parts 3‑1 and 3‑3:
 (i) whether the company made a *capital gain in respect of the transfer of the asset; or
 (ii) whether the company made a *capital loss in respect of the transfer of the asset;
the company is taken:
 (c) to have sold, immediately before the transfer, the asset transferred for a consideration equal to its *market value; and
 (d) to have purchased the asset again at the time of the transfer for a consideration equal to its market value.
 (2A) Without limiting subsection (2), where the asset transferred is a *depreciating asset, Division 40 has effect for the company as if:
 (a) in relation to the sale of the asset that is taken to have occurred under paragraph (2)(c):
 (i) the sale were a *balancing adjustment event; and
 (ii) the *termination value of the asset for that event were equal to the consideration for the sale under that paragraph; and
 (iii) the company had stopped *holding the asset at the time of the sale; and
 (b) in relation to the purchase of the asset that is taken to have occurred under paragraph (2)(d):
 (i) the company had only begun to hold the asset after the purchase; and
 (ii) the first element of the asset's *cost were equal to the consideration for the purchase under that paragraph; and
 (iii) the company had acquired the asset from an *associate of the company.
Note: This means that, amongst other things, as a result of the transfer:
                *  the asset's cost for the purposes of working out a deduction under Division 40 is reset; and
                *  the company's