Rollover relief for compulsory acquisition defers capital gains when proceeds are reinvested in replacement industrial land or building.

Capital gains from compulsory acquisition of land or buildings used in an industrial undertaking are eligible for rollover relief if proceeds are applied to purchase or construct replacement land or buildings within three years; excess gain over replacement cost is taxed immediately and the replacement asset's cost treated as nil for subsequent disposals within three years, while gains up to the replacement cost reduce that cost. Unutilised proceeds must be deposited in a specified institution before filing the return with proof, are deemed part of the replacement cost, and any amounts not utilised within three years are taxed as income when the period expires.

---

---

---