23Value of shares and options

23 Value of shares and options

(1)  [Section 23 Subsection (1) amended by No. 47 of 2011, s. 20, Applied:01 Jul 2012] If the grant of a share or option constitutes wages under this Division, the amount paid or payable as wages is taken, for the purposes of this Act, to be the value of the share or option (expressed in Australian currency) on the relevant day, less the consideration (if any) paid or given by the employee in respect of the share or option (other than consideration in the form of services performed).

(2)  [Section 23 Subsection (2) substituted by No. 47 of 2011, s. 20, Applied:01 Jul 2012] The value of a share or an option is –

(a) the market value; or

(b) the amount determined as provided for by the Commonwealth income tax provisions.

(3)  [Section 23 Subsection (3) substituted by No. 47 of 2011, s. 20, Applied:01 Jul 2012] The employer may elect the method by which the value of a share or an option is determined in any return lodged under this Act.

(4)  [Section 23 Subsection (4) substituted by No. 47 of 2011, s. 20, Applied:01 Jul 2012] However, the Commissioner may determine the method by which the value of a share or an option is determined if the grant of the share or option is not included as wages in a return lodged by an employer as required by this Act.

(5)  [Section 23 Subsection (5) substituted by No. 47 of 2011, s. 20, Applied:01 Jul 2012] In working out the market value of a share or option, anything that would prevent or restrict conversion of the share or option to money is to be disregarded.

(6)  [Section 23 Subsection (6) inserted by No. 47 of 2011, s. 20, Applied:01 Jul 2012] The Commonwealth income tax provisions apply with the following modifications, and any other necessary modifications:

(a) the value of an option is to be determined as if it were a right to acquire a beneficial interest in a share;