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INCOME TAX (TRANSITIONAL PROVISIONS) ACT 1997


TABLE OF PROVISIONS

            

CHAPTER 1--Introduction and core provisions
            

   PART 1-1--PRELIMINARY

           Division 1--Preliminary

   1.1.    Short title  
   1.5.    Commencement  
   1.7.    Administration of this Act  
   1.10.   Definitions and rules for interpreting this Act  

   PART 1-3--CORE PROVISIONS

           Division 4--How to work out the income tax payable on your taxable income

   4.1.    Application of the Income Tax Assessment Act 1997  
   4.11.   Temporary budget repair levy  

           Division 5--How to work out when to pay your income tax

              Subdivision 5-A--How to work out when to pay your income tax

   5.5.    Application of Division 5 of the Income Tax Assessment Act 1997  
   5.7.    References in tax sharing agreements to former section 204  
   5.10.   General interest charge liabilities under former subsection 204(3)  
   5.15.   Application of section 5-15 of the Income Tax Assessment Act 1997  

           Division 6--Assessable income and exempt income

   6.2.    Effect of this Division  
   6.3.    Assessable income for income years before 1997-98  
   6.20.   Exempt income for income years before 1997-98  

           Division 8--Deductions

   8.2.    Effect of this Division  
   8.3.    Deductions for income years before 1997-98  
   8.10.   No double deductions for income year before 1997-98 and income year after 1996-97  
            

CHAPTER 2--Liability rules of general application
            

   PART 2-1--ASSESSABLE INCOME

           Division 15--Some items of assessable income

   15.1.   General application provision  
   15.10.  Application of section 15-10 of the Income Tax Assessment Act 1997 to bounties and subsidies  
   15.15.  Application of section 15-15 of the Income Tax Assessment Act 1997 to profit-making undertaking or plan  
   15.20.  Application of section 15-20 of the Income Tax Assessment Act 1997 to royalties  
   15.30.  Application of section 15-30 of the Income Tax Assessment Act 1997 to insurance or indemnity payments  
   15.35.  Application of section 15-35 of the Income Tax Assessment Act 1997 to interest on overpayments and early payments of tax  

           Division 20--Items included to reverse the effect of past deductions

              Subdivision 20-A--Insurance, indemnity or recoupment for deductible expenses

   20.1.   Application of Subdivision 20-A of the Income Tax Assessment Act 1997  

              Subdivision 20-B--Disposal of a car for which lease payments have been deducted

   20.100. Application of Subdivision 20-B of the Income Tax Assessment Act 1997  
   20.105. The cost of a car acquired in the 1996-97 income year or an earlier income year  
   20.110. The termination value of a car disposed of in the 1996-97 income year or an earlier income year  
   20.115. Reducing the assessable amount for the disposal of a car in the 1997-98 income year or later if there has been an earlier disposal of it  

   PART 2-5--RULES ABOUT DEDUCTIBILITY OF PARTICULAR KINDS OF AMOUNTS

           Division 25--Some amounts you can deduct

   25.1.   Application of Division 25 of the Income Tax Assessment Act 1997  
   25.40.  Application of section 25-40 of the Income Tax Assessment Act 1997  
   25.45.  Application of section 25-45 of the Income Tax Assessment Act 1997  
   25.50.  Application of section 25-90 of the Income Tax Assessment Act 1997  
   25.65.  Local government election expenses  

           Division 26--Some amounts you cannot deduct, or cannot deduct in full

   26.1.   Application of Division 26 of the Income Tax Assessment Act 1997  
   26.30.  Application of section 26-30 of the Income Tax Assessment Act 1997  

           Division 30--Gifts or contributions

   30.1.   Application of Division 30 of the Income Tax Assessment Act 1997  
   30.5.   Keeping in force old declarations and instruments  
   30.25.  Keeping in force the old gifts registers  
   30.102. Fund, authorities and institutions taken to be endorsed  

           Division 32--Entertainment expenses

   32.1.   Application of Division 32 of the Income Tax Assessment Act 1997  

           Division 34--Non-compulsory uniforms

   34.1.   Application of Division 34 of the Income Tax Assessment Act 1997  
   34.5.   Things done under former section 51AL of the Income Tax Assessment Act 1936  

           Division 35--Deferral of losses from non-commercial business activities

   35.10.  Deductions for certain new business investment  
   35.20.  Application of Commissioner's decisions  

           Division 36--Tax losses of earlier income years

   36.100. Tax losses for the 1997-98 and later income years  
   36.105. Tax losses for 1989-90 to 1996-97 income years  
   36.110. Tax losses for 1957-58 to 1988-89 income years  

   PART 2-10----CAPITAL ALLOWANCES: RULES ABOUT DEDUCTIBILITY OF CAPITAL EXPENDITURE

           Division 40--Capital allowances

              Subdivision 40-B--Core provisions

   40.10.  Plant  
   40.12.  Plant acquired after 30 June 2001  
   40.13.  Accelerated depreciation for split or merged plant  
   40.15.  Recalculating effective life  
   40.20.  IRUs  
   40.25.  Software  
   40.30.  Spectrum licences  
   40.33.  Datacasting transmitter licences  
   40.35.  Mining unrecouped expenditure  
   40.37.  Post-30 June 2001 mining expenditure  
   40.38.  Mining cash bidding payments  
   40.40.  Transport expenditure  
   40.43.  Post-30 June 2001 transport expenditure  
   40.44.  No additional decline in certain cases  
   40.45.  Intellectual property  
   40.47.  IRUs  
   40.50.  Forestry roads and timber mill buildings  
   40.55.  Environmental impact assessment  
   40.60.  Pooling under Subdivision 42-L of the former Act  
   40.65.  Substituted accounting periods  
   40.67.  Methods for working out decline in value  
   40.70.  References to amounts deducted and reductions in deductions  
   40.72.  New diminishing value method not to apply in some cases  
   40.75.  Mining expenditure incurred after 1 July 2001 on an asset  
   40.77.  Mining, quarrying or prospecting rights or information held before 1 July 2001  
   40.80.  Other expenditure incurred after 1 July 2001 on a depreciating asset  
   40.100. Commissioner's determination of effective life  
   40.105. Calculations of effective life  

              Subdivision 40-C--Cost

   40.230. Car limit  

              Subdivision 40-D--Balancing adjustments

   40.285. Balancing adjustments  
   40.287. Disposal of pre-1 July 2001 mining depreciating asset to associate  
   40.288. Disposal of pre-1 July 2001 mining non-depreciating asset to associate  
   40.289. Surrendered firearms  
   40.290. Reduction of deductions under former Act etc.  
   40.292. Balancing adjustment--assets used for both general tax purposes and R&D activities  
   40.293. Balancing adjustment--partnership assets used for both general tax purposes and R&D activities  
   40.295. Later year relief  
   40.340. Roll-overs  
   40.345. Balancing adjustments for depreciating assets that retain CGT indexation  
   40.365. Involuntary disposals  

              Subdivision 40-E--Low-value and software development pools

   40.420. Low-value pools under Division 42 continue  
   40.430. Allocating assets to low-value pools  
   40.450. Software development pools  

              Subdivision 40-F--Primary production depreciating assets

   40.515. Water facilities, grapevines and horticultural plants  
   40.520. Special rule for water facilities you no longer hold  
   40.525. Amounts deducted for water facilities  

              Subdivision 40-G--Capital expenditure of primary producers and other landholders

   40.645. Electricity supply and telephone lines  
   40.650. Special rule for land that you no longer hold  
   40.670. Farm consultants  

              Subdivision 40-I--Capital expenditure that is deductible over time

   40.825. Genuine prospectors  
   40.832. New method not to apply in some cases  

              Subdivision 40-J--Ships depreciated under section 57AM of the Income Tax Assessment Act 1936

   40.830. Ships depreciated under section 57AM of the Income Tax Assessment Act 1936  

           Division 43--Deductions for capital works

   43.100. Application of Division 43 to quasi-ownership rights over land  
   43.105. Application of subsections 43-50(1) and (2) to hotel buildings and apartment buildings  
   43.110. Application of subsection 43-75(3)  

           Division 45--Disposal of leases and leased plant

   45.1.   Application of Division 45 of the Income Tax Assessment Act 1997  
   45.3.   Application of Division 45 to disposals between February 1999 and September 1999  
   45.40.  Application of Division to plant formerly owned by exempt entities  

   PART 2-15----NON-ASSESSABLE INCOME

           Division 50--Exempt entities

   50.1.   Application of Division 50 of the Income Tax Assessment Act 1997  
   50.50.  Charities established prior to 1 July 1997  

           Division 51--Exempt amounts

   51.1.   Application of Division 51 of the Income Tax Assessment Act 1997  

           Division 52--Certain pensions, benefits and allowances are exempt from income tax

   52.1.   Application of Division 52 of the Income Tax Assessment Act 1997  

           Division 53--Various exempt payments

   53.1.   Application of Division 53 of the Income Tax Assessment Act 1997  

           Division 54--Exemption for certain payments made under structured settlements and structured orders

   54.1.   Application of Division 54 of the Income Tax Assessment Act 1997  

           Division 55--Payments that are not exempt from income tax

   55.1.   Application of Division 55 of the Income Tax Assessment Act 1997  

           Division 59--Particular amounts of non-assessable non-exempt income

              Subdivision 59-N--Native title benefits

   59.50.  Indigenous holding entities  

   PART 2-20----TAX OFFSETS

           Division 61--Generally applicable tax offsets

              Subdivision 61-L--Tax offset for Medicare levy surcharge

   61.575. Application of Subdivision 61-L of the Income Tax Assessment Act 1997  

           Division 67--Refundable tax offset rules

              Subdivision 67-L--Notices of totals of tax offset refunds for 2012-13 income year

   67.100. Notices of total of tax offset refunds  
   67.105. Deemed notices  
   67.110. Requests for notices  
   67.115. Effect of notices  
   67.120. Amendment of notices  
   67.125. Validity of notices  
   67.130. Evidence  
   67.135. Review of notices  

   PART 2-25----TRADING STOCK

           Division 70--Trading stock

   70.1.   Application of Division 70 of the Income Tax Assessment Act 1997  
   70.10.  Accounting for your disposal of items that stop being trading stock because of the change of definition  
   70.20.  Application of section 70-20 of the Income Tax Assessment Act 1997 to trading stock bought on or after 1 July 1997  
   70.55.  Cost of live stock acquired by natural increase  
   70.70.  Valuing interests in FIFs on hand at the start of 1991-92  
   70.90.  Application of sections 70-90 and 70-95 of the Income Tax Assessment Act 1997 to disposals of trading stock outside the ordinary course of business  
   70.100. Application of section 70-100 of the Income Tax Assessment Act 1997 to disposals of trading stock outside ordinary course of business  
   70.105. Application of section 70-105 of the Income Tax Assessment Act 1997 to deaths on or after 1 July 1997  
   70.115. Application of section 70-115 of the Income Tax Assessment Act 1997 to insurance and indemnity payments in 1997-98 and later income years  

   PART 2-40----RULES AFFECTING EMPLOYEES AND OTHER TAXPAYERS RECEIVING PAYG WITHHOLDING PAYMENTS

           Division 82--Pre-10 May 2006 entitlements to life benefit termination payments

              Subdivision 82-A--Application of Division

   82.10.  Pre-10 May 2006 entitlements--transitional termination payments  

              Subdivision 82-B--Transitional termination payments

   82.10A. Recipient has reached preservation age  
   82.10B. Lower cap amount  
   82.10C. Recipient under preservation age  
   82.10D. Upper cap amount  

              Subdivision 82-C--Pre-payment statements

   82.10E. Transitional termination payments--pre-payment statements  

              Subdivision 82-D--Directed termination payments made to superannuation and other entities

   82.10F. Directed termination payments  
   82.10G. Directed termination payments not assessable income and not exempt income  

              Subdivision 82-E--Pre-10 May 2006 entitlements and employment termination payments made after 1 July 2012

   82.10H. Transitional termination payments may reduce ETP cap amount for payments under section 82-10 after 1 July 2012  

           Division 83A--Employee share schemes

              Subdivision 83A-A--Application of Division 83A of the Income Tax Assessment Act 1997

   83A.5.  Application of Division 83A of the Income Tax Assessment Act 1997  

              Subdivision 83A-B--Application of former provisions of the Income Tax Assessment Act 1936

   83A.10. Savings--continued operation of former provisions  
   83A.15. Indeterminate rights  
            

CHAPTER 3--Specialist liability rules
            

   PART 3-1--CAPITAL GAINS AND LOSSES: GENERAL TOPICS

           Division 102--Application of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997

   102.1.  Application of Parts 3-1 and 3-3 of the Income Tax Assessment Act 1997  
   102.5.  Working out capital gains and capital losses  
   102.15. Applying net capital losses  
   102.20. Net capital gains, capital gains and capital losses for income years before 1998-99  
   102.25. Transitional capital gains tax provisions for certain Cocos (Keeling) Islands and Norfolk Island assets  

           Division 104--CGT events

              Subdivision 104-C--End of a CGT asset

   104.25. Cancellation, surrender and similar endings  

              Subdivision 104-D--Bringing into existence a CGT asset

   104.40. Granting an option  

              Subdivision 104-E--Trusts

   104.70. Capital payment before 18 December 1986 for trust interest  

              Subdivision 104-G--Shares

   104.135.Capital payment for shares  

              Subdivision 104-I--Australian residency ends

   104.165.Choices made under subsection 104-165(2) of the Income Tax Assessment Act 1997  
   104.166.Subsection 104-165(1) still applies if you continue to be a short term Australian resident  

              Subdivision 104-J--CGT events relating to roll-overs

   104.175.Company ceasing to be member of wholly-owned group after roll-over  
   104.185.Change of status of replacement asset for a roll-over under Division 17A of former Part IIIA of the 1936 Act or Division 123 of the 1997 Act  

              Subdivision 104-K--Other CGT events

   104.205.Partial realisation of intellectual property  
   104.235.CGT event K7: asset used for old law R&D activities  

           Division 108--CGT assets

              Subdivision 108-A--What a CGT asset is

   108.5.  CGT assets  

              Subdivision 108-B--Collectables

   108.15. Sets of collectables  

              Subdivision 108-D--Separate CGT assets

   108.75. Capital improvements to CGT assets for which a roll-over may be available  
   108.85. Improvement threshold  

           Division 109--Acquisition of CGT assets

              Subdivision 109-A--Operative rules

   109.5.  General acquisition rules  

           Division 110--Cost base and reduced cost base

              Subdivision 110-A--Cost base

   110.25. Cost base of CGT asset of life insurance company or registered organisation  
   110.35. Incidental costs  

           Division 112--Modifications to cost base and reduced cost base

              Subdivision 112-A--General rules

   112.20. Market value substitution rule  

              Subdivision 112-B--Special rules

   112.100.Effect of terminated gold mining exemptions  

           Division 114--Indexation of cost base

   114.5.  When indexation relevant  

           Division 118--Exemptions

              Subdivision 118-A--General exemptions

   118.10. Interests in collectables  
   118.24A.Pilot plant  

              Subdivision 118-B--Main residence

   118.195.Exemption--dwelling acquired from deceased estate  

              Subdivision 118-C--Goodwill

   118.260.Business exemption threshold  

           Division 121--Record keeping

   121.15. Retaining records under Division 121  
   121.25. Records for mergers between qualifying superannuation funds  

   PART 3-3--CAPITAL GAINS AND LOSSES: SPECIAL TOPICS

           Division 124--Replacement-asset roll-overs

              Subdivision 124-C--Statutory licences

   124.140.New statutory licence--ASGE licence etc.  
   124.141.ASGE licence etc.--cost base of ineligible part  
   124.142.ASGE licence etc.--cost base of aquifer access licence etc.  

              Subdivision 124-I--Change of incorporation

   124.510.Application of Subdivision 124-I of the Income Tax Assessment Act 1997  

           Division 125--Demerger relief

              Subdivision 125-B--Consequences for owners of interests

   125.75. Employee share schemes  

           Division 126--Roll-overs

              Subdivision 126-A--Merger of qualifying superannuation funds

   126.100.Merger of qualifying superannuation funds  

              Subdivision 126-B--Transfer of life insurance business

   126.150.Roll-over on transfer of life insurance business  
   126.160.Effects of roll-over  
   126.165.References to Subdivision 126-B of the Income Tax Assessment Act 1997  

           Division 128--Effect of death

   128.15. Effect on the legal personal representative or beneficiary  

           Division 130--Investments

              Subdivision 130-A--Bonus shares and units

   130.20. Issue of bonus shares or units  

              Subdivision 130-B--Rights

   130.40. Exercise of rights  

              Subdivision 130-C--Convertible notes

   130.60. Shares or units acquired by converting a convertible note  

           Division 134--Options

   134.1.  Exercise of options  

           Division 136--Foreign residents

              Subdivision 136-A--Making a capital gain or loss

   136.25. When an asset is taxable Australian property  

           Division 140--Share value shifting

              Subdivision 140-A--When is there share value shifting

   140.7.  Pre-1994 share value shifts irrelevant  
   140.15. Off-market buy backs  

           Division 149--When an asset stops being a pre-CGT asset

   149.5.  Assets that stopped being pre-CGT assets under old law  

           Division 152--Small business relief

   152.5.  Small business roll-over chosen but no capital gain returned  
   152.10. Small business roll-over not chosen and time remains to acquire a replacement asset  
   152.15. Amendment of assessments  

   PART 3-5--CORPORATE TAXPAYERS AND CORPORATE DISTRIBUTIONS

           Division 165--Income tax consequences of changing ownership or control of a company

              Subdivision 165-CA--Applying net capital losses of earlier income years

   165.95. Application of Subdivision 165-CA of the Income Tax Assessment Act 1997  

              Subdivision 165-CB--Working out the net capital gain and the net capital loss for the income year of the change

   165.105.Application of Subdivision 165-CB of the Income Tax Assessment Act 1997  

              Subdivision 165-CC--Change of ownership or control of company that has an unrealised net loss

   165.115E.Choice to use global method to work out unrealised net loss  

              Subdivision 165-CD--Reductions after alterations in ownership or control of loss company

   165.115U.Choice to use global method to work out adjusted unrealised loss  
   165.115ZC.When certain notices to be given  
   165.115ZD.Adjustment (or further adjustment) for interest realised at a loss after global method has been used  

              Subdivision 165-C--Deducting bad debts

   165.135.Application of Subdivision 165-C of the Income Tax Assessment Act 1997  

           Division 166--Income tax consequences of changing ownership or control of a listed public company

              Subdivision 166-C--Deducting bad debts

   166.40. Application of Subdivision 166-C of the Income Tax Assessment Act 1997  

           Division 167--Companies whose shares carry unequal rights to dividends, capital distributions or voting power

   167.1.  Application of provisions  

           Division 170--Treatment of company groups for income tax purposes

              Subdivision 170-A--Transfer of tax losses within certain wholly-owned groups of companies

   170.45. Special rules affecting utilisation of losses in a bundle do not affect the amount of a tax loss that can be transferred  
   170.55. Ordering rule for losses previously transferred under Subdivision 707-A of the Income Tax Assessment Act 1997  

              Subdivision 170-B--Transfer of net capital losses within certain wholly-owned groups of companies

   170.101.Application of Subdivision 170-B of the Income Tax Assessment Act 1997  
   170.145.Special rules affecting utilisation of losses in a bundle do not affect the amount of a net capital loss that can be transferred  
   170.155.Ordering rule for losses previously transferred under Subdivision 707-A of the Income Tax Assessment Act 1997  

              Subdivision 170-C--Provisions applying to both transfers of tax losses and transfers of net capital losses within wholly-owned groups of companies

   170.220.Direct and indirect interests in the loss company  
   170.225.Direct and indirect interests in the gain company  

              Subdivision 170-D--Transfer of life insurance business

   170.300.Transfer of life insurance business  

           Division 175--Use of a company's losses, deductions or bad debts to avoid income tax

              Subdivision 175-CA--Tax benefits from unused net capital losses of earlier income years

   175.40. Application of Subdivision 175-CA of the Income Tax Assessment Act 1997  

              Subdivision 175-CB--Tax benefits from unused capital losses of the current year

   175.55. Application of Subdivision 175-CB of the Income Tax Assessment Act 1997  

              Subdivision 175-C--Tax benefits from unused bad debt deductions

   175.78. Application of Subdivision 175-C of the Income Tax Assessment Act 1997  

           Division 197--Tainted share capital accounts

              Subdivision 197-A--Definitions

   197.1.  Definitions  

              Subdivision 197-B--General application provision

   197.5.  Application of new Division 197  

              Subdivision 197-C--Special provisions about companies whose share capital accounts were tainted when old Division 7B was closed off

   197.10. Subdivision applies to companies whose share capital accounts were tainted when old Division 7B was closed off  
   197.15. Account taken to have ceased to be tainted when old Division 7B was closed off  
   197.20. After introduction day, account taken to have become tainted under new Division 197 to extent of previous tainting  
   197.25. Special provisions if company chooses to untaint after introduction day  

   PART 3-6--THE IMPUTATION SYSTEM

           Division 201--Object and application of Part 3-6

   201.1.  Estimated debits  

           Division 203--Benchmark rule

   203.1.  Franking periods straddling 1 July 2002  

           Division 205--Franking accounts

   205.1.  Order of events provision  
   205.5.  Washing estimated debits out of the franking account before conversion  
   205.10. Converting the franking account balance to a tax paid basis--companies whose 2001-02 franking year ends on 30 June 2002  
   205.15. Converting the franking account balance to a tax paid basis--companies whose 2001-02 franking year ends before 30 June 2002  
   205.20. A late balancing company may elect to have its FDT liability determined on 30 June  
   205.25. Franking deficit tax  
   205.30. Deferring franking deficit  
   205.35. No franking deficit tax if franking account in deficit at the close of the 2001-02 income year of a late balancing entity  
   205.70. Tax offset arising from franking deficit tax liabilities  
   205.71. Modification of franking deficit tax offset rules  
   205.75. Working out the tax offset for the first income year  
   205.80. Application of Subdivision C of Division 5 of former Part IIIAA of the Income Tax Assessment Act 1936  

           Division 208--Exempting entities and former exempting entities

   208.111.Converting former exempting company's exempting account balance on 30 June 2002  

           Division 210--Venture capital franking

   210.1.  Order of events provision  
   210.5.  Washing estimated venture capital debits out of the old sub-account before conversion  
   210.10. Converting the venture capital sub-account balance to a tax paid basis--PDFs whose 2001-02 franking year ends on 30 June 2002  
   210.15. Converting the venture capital sub-account balance to a tax paid basis--PDFs whose 2001-02 franking year ends before 30 June 2002  

           Division 214--Administering the imputation system

   214.1.  Application  
   214.5.  Entity must give a franking return  
   214.10. Notice to a specific corporate tax entity  
   214.15. Effect of a refund on franking returns  
   214.20. Franking returns for the income year  
   214.25. Commissioner may make a franking assessment  
   214.30. Commissioner taken to have made a franking assessment on first return  
   214.35. Amendments within 3 years of the original assessment  
   214.40. Amended assessments are treated as franking assessments  
   214.45. Further return as a result of a refund affecting a franking deficit tax liability  
   214.50. Later amendments--on request  
   214.55. Later amendments--failure to make proper disclosure  
   214.60. Later amendments--fraud or evasion  
   214.65. Further amendment of an amended particular  
   214.70. Other later amendments  
   214.75. Amendment on review etc.  
   214.80. Notice of amendments  
   214.85. Validity of assessment  
   214.90. Objections  
   214.100.Due date for payment of franking tax  
   214.105.General interest charge  
   214.110.Refunds of amounts overpaid  
   214.120.Record keeping  
   214.125.Power of Commissioner to obtain information  
   214.135.Interpretation  

           Division 219--Imputation for life insurance companies

   219.40. Reversing and replacing (on tax paid basis) certain franking credits that arose before 1 July 2002  
   219.45. Reversing (on tax paid basis) certain franking debits that arose before 1 July 2002  

           Division 220--Imputation for NZ resident companies and related companies

   220.1.  Application to things happening on or after 1 April 2003  
   220.5.  Residency requirement for income year including 1 April 2003  
   220.10. NZ franking company cannot frank before 1 October 2003  
   220.35. Extended time to make NZ franking choice  
   220.501.Franking and exempting accounts of new former exempting entities  

   PART 3-10----FINANCIAL TRANSACTIONS

           Division 235--Particular financial transactions

              Subdivision 235-I--Instalment trusts

   235.810.Application of Subdivision 235-I of the Income Tax Assessment Act 1997  

           Division 242--Leases of luxury cars

   242.10. Application  
   242.20. Balancing adjustments  

           Division 245--Forgiveness of commercial debts

              Subdivision 245-A--Application of Division 245 of the Income Tax Assessment Act 1997

   245.5.  Application and saving  
   245.10. Pre-28 June 1996 arrangements etc.  

           Division 247--Capital protected borrowings

              Subdivision 247-A--Interim apportionment methodology

   247.5.  Interim apportionment methodology  
   247.10. Products listed on the Australian Stock Exchange that have explicit put options  
   247.15. Other capital protected products  
   247.20. The indicator method  
   247.25. The percentage method  

              Subdivision 247-B--Other transitional provisions

   247.75. Post-July 2007 capital protected borrowings  
   247.80. Capital protected borrowings in existence on 1 July 2013  
   247.85. Extensions and other changes  

           Division 253--Financial claims scheme for account-holders with insolvent ADIs

              Subdivision 253-A--Tax treatment of entitlements under financial claims scheme

   253.5.  Application of section 253-5 of the Income Tax Assessment Act 1997  
   253.10. Application of sections 253-10 and 253-15 of the Income Tax Assessment Act 1997  

   PART 3-25----PARTICULAR KINDS OF TRUSTS

           Division 275--Australian managed investment trusts

              Subdivision 275-A--Choice for capital treatment of MIT gains and losses

   275.10. Consequences of making choice--Commissioner cannot make certain amendments to previous assessments  

              Subdivision 275-L--Modification for non-arm's length income

   275.605.Trustee taxed on amount of non-arm's length income of managed investment trust--not applicable for pre-introduction scheme where amount derived before start of 2018-19 income year  

           Division 276--Attribution managed investment trusts

              Subdivision 276-A--Application

   276.5.  Application of Division 276  

              Subdivision 276-B--Starting income year

   276.25. Starting income year  

              Subdivision 276-T--Becoming an AMIT

   276.700.Application of Subdivision to MIT that becomes AMIT  
   276.705.Accounting for unders and overs for base years before becoming an AMIT  

              Subdivision 276-U--Becoming an AMIT

   276.750.Payment by trustee on or after 1 July 2011--certain CGT provisions etc. apply for the purposes of working out non-assessable part for first income year of AMIT  
   276.755.Payment by trustee before 1 July 2011--limit on amendment of assessment  

   PART 3-30----SUPERANNUATION

           Division 290--Contributions

   290.10. Directed termination payments not deductible etc.  
   290.15. Early balancers--deduction limits from end of 2006-2007 income year to 1 July 2007  

           Division 291--Excess concessional contributions

              Subdivision 291-A--Application of Division 291 of the Income Tax Assessment Act 1997

   291.10. Application of Division 291 of the Income Tax Assessment Act 1997  

              Subdivision 291-C--Modifications for defined benefit interests

   291.170.Transitional rules for notional taxed contributions  

           Division 292----Excess non-concessional contributions tax

   292.80. Application of excess non-concessional contributions tax from 10 May 2006 to 1 July 2007  
   292.80A.Transitional release authority  
   292.80B.Giving a transitional release authority to a superannuation provider  
   292.80C.Superannuation provider given transitional release authority must pay amount  
   292.85. Non-concessional contributions cap for a financial year  
   292.90. Non-concessional contributions for a financial year  

           Division 293--Sustaining the superannuation contribution concession

              Subdivision 293-A--Application of Division 293 tax rules

   293.10. Application of Division 293 of the Income Tax Assessment Act 1997  

           Division 294--Transfer balance cap

              Subdivision 294-A--Application of Division 294 of the Income Tax Assessment Act 1997

   294.10. Application of Division 294 of the Income Tax Assessment Act 1997  
   294.30. Minor excess transfer balances disregarded if remedied in first 6 months  
   294.55. Repayment of limited recourse borrowing arrangements  
   294.80. Structured settlement contributions made before 1 July 2017--debit increased to match credits  

              Subdivision 294-B--CGT relief

   294.100.Object  
   294.105.Interpretation  
   294.110.Segregated current pension assets  
   294.115.Superannuation funds using the proportionate method--deemed sale and purchase of CGT asset  
   294.120.Superannuation funds using the proportionate method--disregard initial capital gain but recognise deferred notional gain  
   294.125.Pooled superannuation trust using proportionate or alternative exemption method--deemed sale and purchase of CGT asset  
   294.130.Pooled superannuation trusts using proportionate or alternative exemption method--disregard initial capital gain but recognise deferred notional gain  

           Division 295--Taxation of superannuation entities

              Subdivision 295-B--Modifications of the Income Tax Assessment Act 1997 for 30 June 1988 assets

   295.75. Application of Subdivision  
   295.80. Meaning of 30 June 1988 asset  
   295.85. Cost base of 30 June 1988 asset  
   295.90. Market value of stock exchange listed assets  
   295.95. Adjustment of cost base as at 30 June 1988--return of capital  
   295.100.Exercise of rights  

              Subdivision 295-C--Notices relating to contributions

   295.190.Deductions for personal contributions  

              Subdivision 295-F--Exempt income

   295.390.Fixed interest complying ADFs--exemption of income attributable to certain 25 May 1988 deposits  

              Subdivision 295-G--Deductions

   295.465.Complying funds--deductions for insurance premiums  

              Subdivision 295-I--No-TFN contributions income

   295.610.No-TFN contributions income  

           Division 301--Superannuation member benefits paid from complying plans etc

   301.5.  Extended application to certain foreign superannuation funds  
   301.85. Extended meaning of disability superannuation benefit for superannuation income stream  

           Division 302--Superannuation death benefits paid from complying plans etc

   302.5.  Extended application to certain foreign superannuation funds  
   302.195.Extended meaning of death benefits dependant for superannuation income stream  
   302.195A.Meaning of death benefits dependant for 2008-2009 income year  

           Division 303--Superannuation benefits paid in special circumstances

   303.10. Superannuation lump sum member benefit paid to member having a terminal medical condition  

           Division 304--Superannuation benefits in breach of legislative requirements etc

   304.15. Excess payments from release authorities  

           Division 305--Superannuation benefits paid from non-complying superannuation plans

              Subdivision 305-B--Superannuation benefits from foreign superannuation funds

   305.80. Lump sums paid into complying superannuation plans post-FIF abolition  

           Division 306--Roll-overs etc

   306.10. Roll-over superannuation benefit--directed termination payment  

           Division 307--Key concepts relating to superannuation benefits

   307.125.Treatment of tax free component of existing pension payments etc.  
   307.127.Extension--income stream replacing an earlier one because of an involuntary roll-over  
   307.230.Total superannuation balance--modification for transfer balance just before 1 July 2017  
   307.290.Taxed and untaxed elements of death benefit superannuation lump sums  
   307.345.Low rate component--Effect of rebate under the Income Tax Assessment Act 1936  

   PART 3-32----CO-OPERATIVES AND MUTUAL ENTITIES

           Division 316--Demutualisation of friendly society health or life insurers

              Subdivision 316-A--Application

   316.1.  Application of Division 316 of the Income Tax Assessment Act 1997  

   PART 3-35----INSURANCE BUSINESS

           Division 320--Life insurance companies

              Subdivision 320-A--Preliminary

   320.5.  Life insurance companies that are friendly societies  

              Subdivision 320-C--Deductions and capital losses

   320.85. Deduction for increase in value of liabilities under risk components of life insurance policies  

              Subdivision 320-D--Taxable income and tax loss of life insurance companies

   320.100.Savings--tax losses of previous income years  

              Subdivision 320-F--Virtual PST

   320.170.Transfer of part of an asset to a virtual PST  
   320.175.Transfers of assets to virtual PST  
   320.180.Deferred annuities purchased before 1 July 2007  

              Subdivision 320-H--Segregation of assets for the purpose of discharging exempt life insurance policies

   320.225.Transfer of part of an asset to segregated exempt assets  
   320.230.Transfers of assets to segregated exempt assets  

           Division 322--Assistance for policyholders with insolvent general insurers

              Subdivision 322-B--Tax treatment of entitlements under financial claims scheme

   322.25. Application of section 322-25 of the Income Tax Assessment Act 1997  
   322.30. Application of section 322-30 of the Income Tax Assessment Act 1997  

   PART 3-45----RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS

           Division 328--Small business entities

   328.1.  Definitions  
   328.110.Working out whether you are a small business entity for the 2007-08 or 2008-09 income year--turnover for earlier income years  
   328.111.Access to certain small business concessions for former STS taxpayers that are winding up a business  
   328.112.Working out whether you are a small business entity for certain small business concessions--entities connected with you  
   328.115.When you stop using the STS accounting method  
   328.120.Continuing to use the STS accounting method  
   328.125.Meaning of STS accounting method  
   328.175.Choices made in relation to depreciating assets used in primary production business  
   328.180.Increased access to accelerated depreciation from 12 May 2015 to 30 June 2018  
   328.185.Depreciating assets allocated to STS pools  
   328.195.Opening pool balances for 2007-08 income year  
   328.200.General small business pool for the 2012-13 income year  
   328.440.Taxpayers who left the STS on or after 1 July 2005  

           Division 355--Research and Development

              Subdivision 355-D--Registration for activities before 2011-12 income year

   355.200.Registration for activities before 2011-12 income year  

              Subdivision 355-E--Balancing adjustments for decline in value deductions for assets used in R&D activities

   355.320.Balancing adjustment--assets only used for R&D activities  
   355.325.Balancing adjustment--R&D partnership assets only used for R&D activities  
   355.340.Balancing adjustment--tax exempt entities that become taxable  

              Subdivision 355-F--Integrity rules

   355.415.Expenditure reduced to reflect group mark-ups  

              Subdivision 355-K--Modified application of the old R&D law

   355.550.Prepayments of R&D expenditure extending into the 2011-12 income year  

              Subdivision 355-M--Undeducted core technology expenditure

   355.600.Scope  
   355.605.Core technology that is a depreciating asset  
   355.610.Core technology that is not a depreciating asset  

              Subdivision 355-W--Other matters

   355.720.Certain related amounts may be reduced if notional deductions exceeded $100 million  

           Division 375--Australian films

              Subdivision 375-G--Film losses

   375.100.Film component of tax loss for 1997-98 or later income year  
   375.105.Film component of tax loss for 1989-90 to 1996-97 income years  
   375.110.Film loss for 1989-90 or later income year  

           Division 392--Long-term averaging of primary producers' tax liability

   392.1.  Application of Division 392 of the Income Tax Assessment Act 1997  
   392.25. Transitional provision--election under section 158A of the Income Tax Assessment Act 1936  

           Division 393--Farm management deposits

              Subdivision 393-A--Tax consequences of farm management deposits

   393.1.  Application of Division 393 of the Income Tax Assessment Act 1997  
   393.5.  Unrecouped FMD deduction  
   393.10. Unrecouped FMD deduction for deposits made as a result of section 25B of the Loan (Income Equalization Deposits) Act 1976  
   393.27. Trustee may choose that a beneficiary is a chosen beneficiary of the trust  
   393.30. Unclaimed moneys  

              Subdivision 393-B--Meaning of farm management deposit and owner

   393.40. The day the deposit was made for deposits made as a result of section 25B of the Loan (Income Equalization Deposits) Act 1976  

           Division 410--Copyright collecting societies

   410.1.  Application of section 51-43 of the Income Tax Assessment Act 1997  

           Division 415--Designated infrastructure projects

              Subdivision 415-B--Application of Subdivision 415-B of the Income Tax Assessment Act 1997

   415.10. Application of Subdivision 415-B of the Income Tax Assessment Act 1997  

   PART 3-50----CLIMATE CHANGE

           Division 420--Registered emissions units

              Subdivision 420-A--General application provision

   420.1.  Application of Division 420 of the Income Tax Assessment Act 1997  

   PART 3-80----ROLL-OVERS APPLYING TO ASSETS GENERALLY

           Division 615--Roll-overs for business restructures

              Subdivision 615-A--Modifications for roll-overs between the 2011 and 2012 Budget times

   615.5.  Roll-overs between the 2011 and 2012 Budget times  
   615.10. Modifications--when additional consequences can apply  
   615.15. Modifications--trading stock  
   615.20. Modifications--revenue assets  

           Division 620--Assets of wound-up corporation passing to corporation with not significantly different ownership

              Subdivision 620-A--Corporations covered by Subdivision 124-I

   620.10. Application of Subdivision 620-A of the Income Tax Assessment Act 1997  

   PART 3-90----CONSOLIDATED GROUPS

           Division 700--Application of Part 3-90 of Income Tax Assessment Act 1997

   700.1.  Application of Part 3-90 of Income Tax Assessment Act 1997  

           Division 701--Modified application of provisions of Income Tax Assessment Act 1997 for certain consolidated groups formed in 2002-3 and 2003-4 financial years

              Subdivision 701-A--Preliminary

   701.1.  Transitional group and transitional entity  
   701.5.  Chosen transitional entity  
   701.7.  Working out the cost base or reduced cost base of a pre-CGT asset after certain roll-overs  
   701.10. Interpretation  

              Subdivision 701-B--Modified application of provisions

   701.15. Tax cost and trading stock value not set for assets of chosen transitional entities  
   701.20. Working out allocable cost amount on formation for subsidiary members other than chosen transitional entities  
   701.25. No operation of value shifting and loss transfer provisions to membership interests in chosen transitional entities  
   701.32. No adjustment of amount of liabilities required in working out allocable cost amount  
   701.35. Act, transaction or event giving rise to CGT event for pre-formation roll-over after 16 May 2002 to be disregarded if cost base etc. would be different  
   701.40. When entity leaves transitional group, head company may choose, for purposes of transitional group's allocable cost amount, to increase terminating values of over-depreciated assets  
   701.45. When entity leaves transitional group, head company may choose, for purposes of transitional group's allocable cost amount, to use formation time market values, instead of terminating values, for certain pre-CGT assets  
   701.50. Increased allocable cost amount for leaving entity if it takes privatised asset brought into group by chosen transitional entity  

           Division 701A--Modified application of provisions of Income Tax Assessment Act 1997 for entities with continuing majority ownership from 27 June 2002 until joining a consolidated group

   701A.1. Continuing majority-owned entity, designated group etc.  
   701A.5. Modified application of Part 3-90 of Income Tax Assessment Act 1997 to trading stock of continuing majority-owned entity  
   701A.7. Modified application of Part 3-90 of Income Tax Assessment Act 1997 to registered emissions units of continuing majority-owned entity  
   701A.10.Modified application of Part 3-90 of Income Tax Assessment Act 1997 to certain internally generated assets of continuing majority-owned entity  

           Division 701B--Modified application of provisions of Income Tax Assessment Act 1997 relating to CGT event L1

   701B.1. Modified application of CGT Consolidation provisions to allow immediate availability of capital loss for CGT event L1  

           Division 701C--Modified application etc

              Subdivision 701C-A--Overview

   701C.1. Overview  

              Subdivision 701C-B--Membership rules allowing foreign holding

   701C.10.Additional membership rules where entities are interposed between the head company and a subsidiary member--case where an interposed entity is a foreign resident and the subsidiary member is a company  
   701C.15.Additional membership rules where entities are interposed between the head company and a subsidiary member--case where an interposed entity is a foreign resident and the subsidiary member is a trust or partnership  
   701C.20.Transitional foreign-held subsidiaries and transitional foreign-held indirect subsidiaries  

              Subdivision 701C-C--Modifications of tax cost setting rules

   701C.25.Application and object of this Subdivision  
   701C.30.Transitional foreign-held subsidiary to be treated as part of head company  
   701C.35.Trading stock value not set for assets of transitional foreign-held subsidiaries  
   701C.40.Cost setting rules for exit cases--modification of core rules  
   701C.50.Cost setting rules for exit cases--reference to modification of core rule  

           Division 701D----Transitional foreign loss makers

              Subdivision 701D-A--Object of this Division

   701D.1. Object of this Division  

              Subdivision 701D-B--Rules allowing transitional foreign loss makers to remain outside consolidated group

   701D.10.Transitional foreign loss maker not member of group if certain conditions satisfied  
   701D.15.Choice to apply transitional rules to entity  

           Division 702--Modified application of this Act to assets that an entity brings into a consolidated group

   702.1.  Modified application of section 40-77 of this Act to assets that an entity brings into a consolidated group  
   702.4.  Extended operation of subsection 40-285(3)  
   702.5.  Modified application of subsection 40-285(6) of this Act after entity brings assets into consolidated group  

           Division 703--Consolidated groups and their members

   703.30. Debt interests that are not membership interests  
   703.35. Employee share schemes  

           Division 705--Tax cost setting amount for assets where entities become members of consolidated groups

              Subdivision 705-E--Expenditure relating to exploration, mining or quarrying

   705.300.Application and object of this Subdivision  
   705.305.Rules affecting depreciating assets  
   705.310.Adjustable value of head company's notional assets  

           Division 707--Losses for head companies when entities become members etc

              Subdivision 707-A--Transfer of losses to head company

   707.145.Certain choices to cancel the transfer of a loss may be revoked  

              Subdivision 707-C--Amount of transferred losses that can be utilised

   707.325.Increasing the available fraction for a bundle of losses by increasing the real loss-maker's modified market value  
   707.326.Events involving only value donor and real loss-maker not covered by rule against inflation of modified market value  
   707.327.Choosing available fraction to apply to value donor's loss  
   707.328.Income year and conditions for possible transfer under Division 170 of the Income Tax Assessment Act 1997  
   707.328A.Some events involving only group members not covered by rule against inflation of modified market value  
   707.329.Modified market value at a time before 8 December 2004  
   707.350.Alternative loss utilisation regime to Subdivision 707-C of the Income Tax Assessment Act 1997  
   707.355.Ignore certain losses in working out when a choice can be made under this Subdivision  

              Subdivision 707-D--Special rules about losses

   707.405.Special rules about losses referable to part of income year  

           Division 709--Other rules applying when entities become subsidiary members etc

              Subdivision 709-D--Deducting bad debts

   709.200.Application of Subdivision 709-D of the Income Tax Assessment Act 1997  

           Division 712--Certain rules for where entities cease to be subsidiary members of consolidated groups

              Subdivision 712-E--Expenditure relating to exploration, mining or quarrying

   712.305.Reducing adjustable value of head company's notional asset  

           Division 713--Rules for particular kinds of entities

              Subdivision 713-L--Transitional relief for certain transactions relating to life insurance companies

   713.500.Object of Subdivision  
   713.505.When this Subdivision applies (first case)  
   713.510.When this Subdivision applies (second case)  
   713.515.Entities must choose the relief  
   713.520.Conditions  
   713.525.Time of transfer  
   713.530.What the relief is  
   713.535.Subsequent consequences  
   713.540.Requirement to notify happening of new event  
   713.545.Discount capital gain in certain cases  

              Subdivision 713-M--General insurance companies

   713.700.Application  

           Division 715--Interactions between the consolidation rules and other areas of the income tax law

              Subdivision 715-F--Interactions with Division 230

   715.380.Exit history rule not to affect certain matters related to Division 230 financial arrangements  

              Subdivision 715-J--Entry history rule and choices

   715.658.Application  
   715.659.Extension of time for making choice if joining time was before commencement  

              Subdivision 715-K--Exit history rule and choices

   715.698.Application  
   715.699.Extension of time for making choice if leaving time was before commencement  

           Division 716--Miscellaneous special rules

              Subdivision 716-G--Software development pools

   716.340.Expenditure incurred before 1 July 2001 and allocated to a software pool  

           Division 719--MEC rules

              Subdivision 719-A--Modified application of Part 3-90 to MEC groups

   719.2.  Modified application of Part 3-90 to MEC groups  

              Subdivision 719-B--MEC groups and their members

   719.5.  Debt interests that are not membership interests  
   719.10. Effect of Division 701C  
   719.15. Modified effect of subsection 701D-10(2)  
   719.30. Employee share schemes  

              Subdivision 719-C--Cost setting

   719.160.Transitional cost setting rules on joining have effect with modifications  
   719.161.Modified effect of section 701-1  
   719.163.Modified effect of section 701-35  
   719.165.Modified effect of paragraph 701-45(1)(b)  

              Subdivision 719-F--Losses

   719.305.Available fraction for bundle of losses not affected by concessional rules  
   719.310.Certain choices may be revoked  

              Subdivision 719-I--Bad debts

   719.450.Application of Subdivision 719-I of the Income Tax Assessment Act 1997  

           Division 721--Liability for payment of tax where head company fails to pay on time

              Subdivision 721-A--Application of Division

   721.25. References in tax sharing agreements to former table item 25  

   PART 3-95----VALUE SHIFTING

           Division 723--Direct value shifting by creating right over non-depreciating asset

   723.1.  Application of Division 723  

           Division 725--Direct value shifting affecting interests in companies and trusts

   725.1.  Application of Division 725  

           Division 727--Indirect value shifting affecting interests in companies and trusts, and arising from non-arm's length dealings

   727.1.  Application of Division 727  
   727.230.Transitional exclusion for certain indirect value shifts relating mainly to services  
   727.470.Affected interests do not include equity or loan interests owned by entity that is eligible to be an STS taxpayer  
            

CHAPTER 4--International aspects of income tax
            

   PART 4-5--GENERAL

           Division 815--Cross-border transfer pricing

              Subdivision 815-A--Cross-border transfer pricing

   815.1.  Application of Subdivision 815-A of the Income Tax Assessment Act 1997  
   815.5.  Cross-border transfer pricing guidance  
   815.10. Scheme penalty applies in pre-commencement period as if only the old law applied  
   815.15. Application of Subdivisions 815-B, 815-C and 815-D of the Income Tax Assessment Act 1997  

           Division 820--Application of the thin capitalisation rules

   820.10. Application of Division 820 of the Income Tax Assessment Act 1997  
   820.12. Application of Division 974 of the Income Tax Assessment Act 1997 for the purposes of Division 820 of that Act  
   820.45. Transitional provision--accounting standards and prudential standards  

           Division 830--Application of the foreign hybrid rules

   830.1.  Standard application  
   830.15. Modified version of income tax law to apply for certain past income years  
   830.20. Modifications of income tax law  

           Division 840--Withholding taxes

              Subdivision 840-M--Managed investment trust amounts

   840.805.Managed investment trust amounts  
   840.810.Payment of tax under section 840-805  

              Subdivision 840-S--Seasonal Labour Mobility Program withholding tax

   840.905.Application of Subdivision 840-S of the Income Tax Assessment Act 1997  

           Division 842--Exempt Australian source income and gains of foreign residents

              Subdivision 842-I--Investment manager regime

   842.207.Application of replacement version of Subdivision 842-I  
   842.208.Modified meaning of IMR foreign fund for the purposes of earlier income years  
   842.209.Residence of corporate limited partnerships  
   842.210.Treatment of IMR foreign fund that is a corporate tax entity  
   842.215.Treatment of foreign resident beneficiary that is not a trust or partnership  
   842.220.Treatment of foreign resident partner that is not a trust or partnership  
   842.225.Treatment of trustee of an IMR foreign fund  
   842.230.Pre-2012 IMR deduction  
   842.235.Pre-2012 IMR capital loss  
   842.240.Pre-2012 non-IMR net income, pre-2012 non-IMR Division 6E net income and pre-2012 non-IMR net capital gain  
   842.245.Pre-2012 non-IMR partnership net income and pre-2012 non-IMR partnership loss  
            

CHAPTER 5--Administration
            

   PART 5-35----MISCELLANEOUS

           Division 909--Regulations

   909.1.  Regulations  
            

CHAPTER 6--The Dictionary
            

   PART 6-1--CONCEPTS AND TOPICS

           Division 960--General

              Subdivision 960-B--Utilisation of tax attributes

   960.20. Utilisation--corporate loss carry back  

              Subdivision 960-E--Entities

   960.100.Effect of this Subdivision  
   960.105.Entities, and members of entities, benefiting from the application of this Subdivision  
   960.110.No taxation consequences to result from changes to managed investment scheme  
   960.115.Certain entities treated as agents  

              Subdivision 960-M--Indexation

   960.262.Application of Subdivision 960-M of the Income Tax Assessment Act 1997  
   960.275.Indexation factor  


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