On 12 December 2014, the Tax and Superannuation Laws Amendment (2014 Measures No 6) Bill 2014 received Royal Assent.

The Bill includes amendments that extend the existing business restructure roll-overs available where a member of a company or unit holder in a unit trust can defer the income tax consequences of transactions that occur in the course of a business restructure. The amendments for example seek to ensure that the roll-over for the exchange of shares in one company for shares in another company operates properly so that if the original shares are held on revenue account at the time of the exchange, the profit or loss can be deferred.

This has effect from 7:30pm on 8 May 2012 (by legal time in the ACT). Other amendments in the Bill have other effective dates.

The ATO says it accepted tax returns as lodged during the period up until enactment of the legislation. As the legislation has now been enacted, it says taxpayers need to review their position taken in relation to these matters within their returns. The ATO says if taxpayers:

  • chose roll-over relief, and their position is consistent with the changes, they do not need to do anything more;
  • did not choose roll-over relief, they can seek amendments and if there is a reduction in their liability, the ATO will pay interest on the overpayment;
  • chose to anticipate the roll-over relief, but find that their position is not consistent with the changes, they will need to seek amendments.

[LTN 1, 5/1/15]