The ATO recently gave him a ruling on the position of the value of shares for capital gain tax purposes when a company is in liquidation, receivership or suspended or delisted from the ASX. In general terms, the ATO has ruled that "a capital loss can only be realised on disposal of an asset, pursuant to section 1650M(2)of Part 111A of the Income Tax Assessment Act".
For investors whose shares have fallen in value because of a receivership, suspension or delisting, there is no joy: the ATO says these circumstances do not constitute a disposal and thus no loss has been realised.
