Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 716.850

  (1)   Under some provisions of this Act, something that is relevant to working out:

  (a)   an entity's taxable income (if any); or

  (b)   the income tax (if any) payable on an entity's taxable income; or

  (c)   an entity's loss (if any) of a particular * sort;

is determined on the basis of a comparison between an amount worked out for an income year, or an amount * derived from 2 or more such amounts, and another amount.

Note:   The other amount assumes an income year of 365 days.

  (2)   This section affects how such a provision (the threshold provision ) operates for the purposes of subsection   701 - 30(3), which requires each thing covered by paragraph   (1)(a), (b) or (c) of this section to be worked out for an entity for a non - membership period (under section   701 - 30) during an income year.

Note:   A non - membership period is a period (of less than an income year) when the entity is not a subsidiary member of any consolidated group.

  (3)   An amount that would otherwise be worked out for the non - membership period, for the purposes of the comparison under the threshold provision, is instead:

  (a)   to be worked out by reference to the period (the reference period ) starting at the start of the income year and ending at the end of the non - membership period; and

  (b)   then to be grossed up by multiplying it by this fraction: