ATO Interpretative Decision - VCLP

17 January 2011

The Australian Tax Office, on 14 January 2011, clarified that modifications in subsection 295-85(2) of the Income Tax Assessment Act 1997 (ITAA 1997) can apply to a venture capital limited partnership (VCLP) when a complying superannuation fund (CSF) is a partner in the partnership. Gains flowing from the VCLP to the CSF by reason of the CSF being a partner are taxed as capital gains.

ATO ID 2011/7 – Income Tax - Application of section 295-85 of the ITAA

Section 295-85 CGT to be primary code for calculating gains or losses

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Section 6-5 Income according to ordinary concepts (ordinary income)