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How the tax changes in the Class Ruling will impact you will depend upon your particular circumstances. You should refer to the relevant appendices identified in the table below for a more detailed explanation of how the tax changes in the Class Ruling impact you.
In summary, the tax change in the Class Ruling relates to when you will be treated as acquiring your "25 Shares at No Cost to You" and Loan Shares for capital gains tax purposes.
Previously, if you elected to be taxed upfront on your shares you would have been treated as acquiring your shares for capital gains tax purposes at the time the shares were purchased by the Trustee on your behalf.
The Class Ruling issued by the ATO confirms that, if you elected to be taxed upfront on your shares, you will now be taken to acquire your shares when you become "absolutely entitled" to your shares.
The appendices referred to in the table below explain in more detail when you will become "absolutely entitled" to your shares and therefore when you will be treated as acquiring your shares.
The appendices will also explain what impact this will have in your particular circumstances.
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