Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 70.10

"Trading stock" includes:

                     (a)  anything produced, manufactured or acquired that is held for purposes of manufacture, sale or exchange in the ordinary course of a * business; and

                     (b)  * live stock;

but does not include a * Division 230 financial arrangement.

Note 1:       Shares in a PDF are not trading stock. See section 124ZO of the Income Tax Assessment Act 1936 .

Note 2:       If a company becomes a PDF, its shares are taken not to have been trading stock before it became a PDF. See section 124ZQ of the Income Tax Assessment Act 1936 .

Table of sections

70-15        In which income year do you deduct an outgoing for trading stock?

70-20        Non-arm's length transactions

70-25        Cost of trading stock is not a capital outgoing

70-30        Starting to hold as trading stock an item you already own