Company X is a company that buys land for residential development and sale. In January 1985 it purchased a block of land for $1million with the intention of developing home units for sale. Due to the onset of a recession the company did not commence any construction and in 1990 the company abandoned the residential development altergether. In the seme year a manager was temporarily appointed. However, soon after the appointment of the manager, a HK company Y, which develops and sells shopping complexes, injects funds into the company in return for 60% of the share in X being transferred ot Y. By this time, the value of the land had increased ot $3 million, Under the influence of the new owners of the company, Y proceed to expend $e million to develop the site as a shopping complex and sold the completed complex in Febuary 2007 for $10 million.
What is the tax consequances for Company X and amount it will have to include in its assessable income on the sale of the shopping complex??