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srilawsby aturio
As enacted
EnglishSinhala සිංහල, official PDF on documents.gov.lkTamil தமிழ், official PDF on documents.gov.lk
Contents

Part I

47. Involuntary realisation of asset with replacement

Official English translation. The Sinhala text prevails. Open the official Sinhala text, official PDF on documents.gov.lk

(1)

Where a person involuntarily realises an asset in any manner set out in paragraph (a) of section 39 and acquires a replacement asset of the same type within six months before or within one year after the realisation and elects in writing for this subsection to apply, that person shall be treated as –

(a)

deriving an amount in respect of the realisation equal to the aggregate of –

(i)

the net cost of the asset immediately before the realisation; and

(ii)

the amount, if any, by which amounts derived in respect of the realisation exceed expenditure incurred in acquiring the replacement asset; and

(b)

incurring expenditure in acquiring the replacement asset equal to the aggregate of –

(i)

the amount referred to in paragraph (a)(i); and

(ii)

the amount, if any, by which expenditure incurred in acquiring the replacement asset exceeds amounts derived in respect of the realisation.

(2)

The Commissioner-General may specify the circumstances in which the replacement of one security in a company with another security in the same company or a different company (including as a result of merger, demerger or reconstruction) constitutes an involuntary realisation.

Read on from s 48

Part II

Read on from Part II

Schedules