Tax question: CFD hedging to lock in profits and receive 50% CGT discount, page-5

reply #4

lastly, Part IVA could be applied to deny the discount

Part IVA is a general anti-avoidance provision that is applied on a case by case basis

personally, i think Part IVA would probably apply but this very difficult for the ATO to apply/administer since they much rule on your specific situation or scheme

i did a quick browse but did not find anything close to your situation, here: http://law.ato.gov.au/atolaw/asearch.htm

Part IVA is here: http://law.ato.gov.au/atolaw/view.h...58&Archived=false&recnum=7&tot=38&pn=ALL:::AA

And here: https://www.ato.gov.au/general/gen/part-iva--the-general-anti-avoidance-rule-for-income-tax/