Income Tax Act 2007 section 367

The amount of value received

Section 367 sets out how to calculate the amount of value received by an investor in a Community Development Finance Institution (CDFI) for the purposes of determining whether community investment tax relief should be withdrawn or reduced.

• The amount of value received depends on the type of transaction through which value was returned to the investor, as defined in section 366
• For direct payments, loan repayments or discharge of liabilities, the value received is simply the amount paid, repaid or discharged
• For benefits or facilities provided by the CDFI, the value received is the CDFI's cost of providing them, minus any payment made by the investor or an associate
• For asset disposals or acquisitions between the investor and the CDFI at non-market value, the value received is the difference between the asset's market value and any consideration actually exchanged