Section 1107 — Social Security Act 1991: Amount of disposition

If a person disposes of ordinary income, the amount of the disposition is the amount that, in the Secretary’s opinion, is: (a) if the person receives no consideration for the destruction, disposal or diminution—the annual rate of the diminution of the income because of the destruction, disposal or diminution; or (b) if the person receives consideration for the destruction, disposal or diminution—the annual rate of the diminution of the income because of the destruction, disposal or diminution less the part (if any) of the consideration that the Secretary considers to be fair and reasonable in all the circumstances of the case.