Commonwealth Numbered Acts

TELECOMMUNICATIONS AND POSTAL SERVICES (TRANSITIONAL PROVISIONS AND CONSEQUENTIAL AMENDMENTS) ACT 1989No. 63, 1989 - SECT 68

68. (1) Where:

   (a)  Australia Post owns an asset at the end of 30 June 1990 (in this
subsection called the "changeover time"); and

   (b)  the market value of the asset at the changeover time is greater than
        the amount that would be the indexed cost base to Australia Post in
        relation to the asset if Australia Post disposed of the asset at that
        time; the following provisions have effect for the purpose of
        ascertaining under Part IIIA of the Income Tax Assessment Act 1936
        whether a capital gain accrues in the event of a subsequent disposal
        of the asset by it:

   (c)  Australia Post shall be taken to have disposed of the asset at the
        changeover time for a consideration equal to the amount of that
        indexed cost base;

   (d)  Australia Post shall be taken to have immediately re-acquired the
        asset for a consideration equal to the market value of the asset at
        the changeover time;

   (e)  the reference in subsection 160Z (3) of the Income Tax Assessment Act 
        1936 to the day on which the asset was acquired by the taxpayer shall
        be taken to be a reference to the day on which the asset was actually
        acquired by Australia Post.

(2) If the asset is disposed of within 12 months of its actual acquisition by
Australia Post, subsection (1) has effect as if the references in that
subsection to the indexed cost base to Australia Post in relation to the asset
were references to the cost base to Australia Post in relation to the asset.

(3) Where:

   (a)  Australia Post owns an asset at the end of 30 June 1990 (in this
subsection called the "changeover time"); and

   (b)  the market value of the asset at the changeover time is less than the
        amount that would be the reduced cost base to Australia Post in
        relation to the asset if Australia Post disposed of the asset at that
        time; the following provisions have effect for the purpose of
        ascertaining under Part IIIA of the Income Tax Assessment Act 1936
        whether Australia Post incurred a capital loss in the event of a
        subsequent disposal of the asset by it:

   (c)  Australia Post shall be taken to have disposed of the asset at the
        changeover time for a consideration equal to the amount of that
        reduced cost base;

   (d)  Australia Post shall be taken to have immediately re-acquired the
        asset for a consideration equal to the market value of the asset at
        the changeover time.

(4) Expressions used in this section, and in Part IIIA of the Income Tax 
Assessment Act 1936 , have the same respective meanings as in that Part.