10 May 077 CGT small business concessions: 'net value of the CGT assets' and 'liabilities' - TD 2007/14This final Taxation Determination was issued on 9 May 2007. It was previously released in draft form as TD 2006/D27: see 2006 TAXVINE No 22 (12) (16 June 2006). Its full title is "Income tax: capital gains: small business concessions: what 'liabilities' are included in the calculation of the 'net value of the CGT assets' of an entity in the context of s 152-20(1) of ITAA 1997?"
The Taxation Determination states, in para 1:
"The term 'liabilities' in the context of s 152-20(1) of ITAA 1997 1 has its ordinary meaning. 'Liabilities' extend to legally enforceable debts due for payment and to presently existing obligations to pay either a sum certain or ascertainable sums. It does not extend to contingent liabilities, future obligations or expectancies."
For a copy of TD 2007/14, go here