On 13 June 2012, the ATO issued Taxation Ruling TR 2012/3 entitled "Income tax: taxation of financial arrangements - application of ss 230-30(2) and 230-30(3) of ITAA1997 to gains and losses relating to exempt income or non-assessable non-exempt income".
It was previously released in draft form as TR 2011/D7.
The Ruling explains how s 230-30(2) of ITAA 1997 applies to a gain made from a financial arrangement. Where this provision applies a gain is to some extent exempt income or non-assessable non-exempt income (NANE income). The Ruling also explains how ss 230-30(2) and 230-30(3) apply to a loss from a financial arrangement.