CB 15 Transactions between associated persons
Income

(1)

An amount that a person (the transferee) derives from disposing of land is income of the transferee under whichever is applicable of sections CB 6 to CB 14 if—

(a)

the land has been transferred to the transferee from another person (the transferor); and

(b)

the transferor and the transferee are associated persons at the time of the transfer; and

(c)

the amount derived is more than the cost of the land to the transferee; and

(d)

the amount derived would have been income of the transferor under any of sections CB 6 to CB 14 if the transferor had retained and disposed of the land.

Date on which some transferees acquire land

(2)

For the purposes of sections CB 7 to CB 12 and CB 14, if the transferor and transferee are associated persons at the time of the transfer, the transferee is treated as having acquired the land on the date on which the transferor acquired it.

Defined in this Act: amount, associated person, dispose, income, land

Compare: 2004 No 35 s CB 13