The Issues Log

Issue: OZ 5(1)(d), MJ 5(1)

Submission Number	149
Submitter	KPMG
Section / Provision Income Tax Act 2007	OZ 5(1)(d)
Section / Provision Income Tax Act 2004	MJ 5(1)
Date Received	14/12/10
Description of issue	Apparent error in wording of section. Section should read \"the amount paid on subscription for a unit is greater than the amount paid on redemption\". It currently reads \"less than\". Purpose of section is to allow an ASC account to be established to capture ASC that would otherwise be lost under the slice rule when a unit holder redeems a unit for less than they paid for it.
Section / Provision Income Tax Act 1994
Status	Finalised
Outcome	The Panel agrees an unintended change arises in respect of section OZ 5(1)(d) of the Income Tax Act 2007. The Panel recommends that the Income Tax Act 2007 be amended retrospectively.