Section 681DI — Income Tax Act 2007: Disposal of interest to associate

Disposal of interest to associate 681DI 1 This section applies for the purposes of this Chapter if a person disposes of an interest in an asset to a person who is the first person's associate (and the interest may be the lessee's interest in a lease of the asset or the lessor's interest or any other interest).

2 The person disposing of the interest must be treated as obtaining in respect of it the greatest of—

a the sum in fact obtained by the person, b the value of the interest in the open market, and c the value of the interest to the person to whom it is in effect transferred.

3 The disposal—

a may be direct or indirect, and b may be effected by a transaction or series of transactions described in section 681DG(b) or 681DH(3).