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  • 11. Consolidation deductions relating to rights to future income, consumable stores and work in progress

    Only complete this item if the head company of a consolidated group or a MEC group has claimed in this income year at item 6 Calculation of total profit or loss or item 7 Reconciliation to taxable income or loss, all or part of the tax cost setting amount of:

    • work in progress (WIP) amount assets under subsection 701-55(5C) of the ITAA 1997 prospective rules, or
    • consumable stores under subsection 701-55(5D) of the ITAA 1997 prospective rules.

    The prospective rule amendments, as made by Tax Laws Amendment (2012 Measures No.2) Act 2012 Schedule 3 Part 3, apply, for Division 705 and section 701-55 of the ITAA 1997 purposes, to all entities (or more specifically the assets of all entities) that join a consolidated or MEC group on or after 31 March 2011 (under the Division 705 entry asset cost setting rules).

    F – Prospective rules deductions

    Write at F the total amount the company has claimed in 2020–21 under the prospective rules at another item in 6 Calculation of total profit or loss or 7 Reconciliation to taxable income or loss for the tax cost setting amount of:

    • work in progress (WIP) amount assets under 701-55(5C) (and section 25-95) of the prospective rules
    • consumable stores under 701-55(5D) of the prospective rules.

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    Last modified: 27 May 2021QC 64886