Withdrawal - Income tax: consolidation: capital gains: do the core consolidation rules in Division 701 of the Income Tax Assessment Act 1997 modify the effect of the CGT contract rules if an entity contracts to sell or buy a CGT asset and the contract settles after the entity becomes, or ceases to be, a member of a consolidated group?

Draft Taxation Determination TD 2005/D27 considered whether the core consolidation rules in Division 701 of the Income Tax Assessment Act 1997 modify the effect of the CGT contract rules if an entity contracts to sell or buy a CGT asset and the contract settles after the entity becomes, or ceases to be, a member of a consolidated group.

The issue covered in this Determination is now dealt with in Draft Taxation Determination TD 2008/D9, which issued today. This allows TD 2008/D9 and Draft Taxation Determinations TD 2008/D10 and TD 2008/D11 - which also deal with issues related to straddle contracts - to be considered together as a package.