93UDisposal preclusion period—disposals before 1 July 2002

93U Disposal preclusion period—disposals before 1 July 2002

(1A) This section applies only to disposals of assets that took place before 1 July 2002. (1) For the purposes of this Part, if: (a) either: (i) a person has, during a designated year of the person, disposed of an asset of the person; or (ii) the partner of a person has, during a designated year of the person, disposed of an asset of the partner; and (b) the amount of that disposition, or the sum of that amount and of the amounts (if any) of other dispositions of assets previously made by the person and/or the person’s partner during that designated year, exceeds $10,000; the person is subject to a disposal preclusion period throughout the period of 5 years that starts on the day on which the disposition referred to in paragraph (a) took place.

Note: Designated year is defined by subsection (3).

(2) For the purposes of this Part, if: (a) a person ceases to be a member of a couple (whether because of the death of the person’s partner or for any other reason); and (b) immediately before the cessation, the person was subject to a particular disposal preclusion period that arose wholly because the person’s partner disposed of a particular asset; and (c) if that disposition had been disregarded, the person would not have been subject to that disposal preclusion period; then, despite subsection (1), that disposal preclusion period ends at the cessation. (3) For the purposes of this section, a designated year of a person is: (a) the 12‑month period ending on the day the person qualified for age pension; and (b) each preceding 12‑month period; and (c) each succeeding 12‑month period. (4) This section applies to a disposal even if the disposal took place before the commencement of this section.