The Government will make changes to the 2011-12 Budget measure in relation to the application of the scrip-for-scrip roll-over and small business concessions to trusts, superannuation funds and life insurance companies. In particular, the measure will ensure that the provisions concerning absolutely entitled beneficiaries, bankrupt individuals, security providers and companies in liquidation interact appropriately with the CGT provisions and with the connected entity test in the small business entity provisions.
This measure will also ensure that consequential impacts on the Wine Equalisation Tax Act 1999 through the operation of the changes to the connected entity test will apply to wine producers.
Date of effect: The main changes will apply at the option of taxpayers from the 2008-09 income year and automatically from Royal Assent. The consequential amendments to the Wine Equalisation Tax Act 1999 will apply from the first financial year after the amending legislation receives Royal Assent.
Source: Budget Paper No 2 [ p 18]
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