Document ID: chunk:federal_register_of_legislation:C2010C00602:clause:7_8:p1
Version: federal_register_of_legislation:C2010C00602
Segment Type: clause
Provision Reference: sch 7 cl 8 (pt 1/5)
Character Range: 14928–17650

8  At the end of Subdivision 328‑D
Add:

328‑240  Roll‑over relief for partnership changes

 (1) There is roll‑over relief if:
 (a) *balancing adjustment events occur for *depreciating assets on a day (the BAE day) because of subsection 40‑295(2) as a result of a variation in the constitution of a partnership or in the interests of the partners; and
 (b) deductions for the assets are calculated under this Subdivision; and
 (c) the entity or entities that had an interest in the assets just before the balancing adjustment events occurred (the transferor) and the entity or entities that have an interest in the assets just after the events occurred (the transferee) jointly choose the roll‑over relief; and
 (d) the conditions in section 328‑243 are met.

Note: There will be another BAE day in the income year if there is a variation in the constitution of the transferee partnership or in the interests of the partners and a further roll‑over is chosen.

 (2) The choice must:
 (a) be in writing; and
 (b) contain enough information about the transferor's *holding of the assets for the transferee to work out how this Subdivision applies to the transferee's holding of the assets; and
 (c) be made within 6 months after the end of the transferee's income year (the BAE year) in which the *balancing adjustment events occurred, or within a longer period allowed by the Commissioner.

 (3) If a person dies before the end of the time allowed for jointly choosing roll‑over relief, the trustee of the person's estate may be a party to the choice.

 (4) The transferor must keep the choice or a copy of it for 5 years after the *balancing adjustment events occurred.

Penalty: 30 penalty units.

Note: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.

 (5) The transferee must keep the choice or a copy of it until the end of 5 years after the next *balancing adjustment event occurs for any of the *depreciating assets.

Penalty: 30 penalty units.

328‑243  Conditions for roll‑over relief

 (1) The transferee must become an *STS taxpayer for the BAE year.

 (2) All of the *depreciating assets that, just before the *balancing adjustment events occurred, were:
 (a) *held by the transferor; and
 (b) allocated to the transferor's *general STS pool or *long life STS pool;
must be held by the transferee just after those events occurred.

328‑245  Consequences of roll‑over

 (1) The transferor does not subtract anything for the *balancing adjustment events under:
 (a) paragraph (a) of step 2 in the method statement in section 328‑200; or
 (b) subsection 328‑210(2).

 (2) Subsection 328‑215(4) does not apply to the *balancing adjustment events for the transferor.

 (3) A choice