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  • Section C: Calculation of notional tax amount in relation to instalment period

    Question 11: Has the entity elected to be bound by the functional currency rules?

    If a choice to be bound by the functional currency rules:

    • was not in place for the year of tax, place an X in the 'No' box and go to question 14
    • was in place for the year of tax, place an X in the 'Yes' box.

    A functional currency for PRRT purposes has to be a currency other than Australian dollars. If the entity uses Australian dollars for PRRT purposes, place an X in the 'No' box and go to question 14.

    Question 12: What is the functional currency translation rate?

    Insert the exchange rate (rounded to four significant figures) used to translate amounts from the applicable functional currency into Australian dollars.

    The translation rate is the amount by which the functional currency amount is divided to reflect an equivalent amount of Australian dollars. That is, the number of non-Australian dollar currency units that equal one Australian dollar, rounded to four significant figures.

    Question 13: State the applicable functional currency code

    Insert the functional currency code.

    Get it done

    For the list of functional currency codes that can be used, refer to Guide to functional currency rules.

    Question 14: Expenses payable in relation to sales

    Insert at label 14A the total expenses incurred in relation to the sales for which the entity derived the assessable receipts reported at question 15.

    Question 15: Assessable receipts derived

    Insert at label 15B the total amount of assessable petroleum receipts (if any) derived during the instalment period.

    Insert at label 15C the total amount of assessable tolling receipts (if any) derived during the instalment period.

    Insert at label 15D the total amount of assessable exploration recovery receipts (if any) derived during the instalment period.

    Insert at label 15E the total amount of assessable property receipts (if any) derived during the instalment period.

    Insert at label 15F the total amount of assessable miscellaneous compensation receipts (if any) derived during the instalment period.

    Insert at label 15G the total amount of assessable employee amenities receipts (if any) derived during the instalment period.

    Insert at label 15H the total amount of assessable incidental production receipts (if any) derived during the instalment period.

    Insert at label 15I the project’s total amount of assessable receipts derived during the instalment period (15B + 15C + 15D + 15E + 15F + 15G + 15H).

    Generally, the assessable receipts (inserted at question 15) is the consideration received less the direct expenses incurred in relation to the sale inserted at question 14.

    Find out more

    For information about working out total assessable receipts derived, refer to PRRT assessable receipts.

    Question 16: Deductible expenditure incurred

    Insert at label 16J the total amount of class 1 augmented bond rate general expenditure (if any) incurred during the instalment period.

    Insert at label 16K the total amount of class 1 augmented bond rate exploration expenditure (if any) incurred during the instalment period.

    Insert at label 16L the total amount of class 2 uplifted general expenditure (if any) incurred during the instalment period.

    Insert at label 16M the total amount of class 1 GDP factor expenditure (if any) incurred during the instalment period.

    Insert at label 16N the total amount of class 2 uplifted exploration expenditure (if any) incurred during the instalment period.

    Insert at label 16O the total amount of class 2 GDP factor expenditure (if any) incurred during the instalment period.

    Insert at label 16P the total amount of resource tax expenditure (if any) incurred during the instalment period.

    Insert at label 16R the total amount of starting base expenditure (if any) incurred during the instalment period.

    Insert at label 16S the total amount of closing-down expenditure (if any) incurred during the instalment period.

    Insert at label 16T the project's total deductible expenditure incurred during the instalment period (16J + 16K + 16L + 16M + 16N + 16O + 16P + 16R + 16S).

    Uplifted undeducted deductible expenditure incurred in previous years should also be included at the appropriate labels at question 20.

    Find out more

    For information about working out the total deductible expenditure incurred, refer to PRRT deductible expenditure.

    Question 17: Exploration expenditure amounts transferred to this project for the instalment period

    Do not use any symbols, such as + or -.

    If the entity is intending to transfer less exploration expenditure to this petroleum project than they indicated they would in a previous PRRT instalment statement, indicate the total amount they now intend to transfer. Do not insert a negative figure to show an adjustment to a previously indicated transferred exploration amount.

    Insert at label 17U the total of the amounts of exploration expenditure transferred to the entity's interest in the petroleum project from other petroleum interests of the entity (if any) for the instalment period.

    Insert at label 17V the total of the amounts of exploration expenditure transferred to the entity's interest in the petroleum project from petroleum interests of group companies (if any) for the instalment period.

    Insert at label 17W the total amount of exploration expenditure transferred to the entity's interest in the petroleum project. This is calculated by adding the total amounts transferred from other petroleum interests of the entity and from other group companies (17U + 17V). Insert a 0 (zero) if no amounts have been transferred to the petroleum project for the instalment period.

    Question 18: Taxable profit and undeducted expenditure

    Calculate the entity’s taxable profit by subtracting the total deductible expenditure and total amount transferred from total assessable receipts (15I - 16T - 17W). If the result is a:

    • positive amount, insert the amount at label 18A and go to question 19
    • 0 (zero), insert a 0 (zero) at labels 18A and 18B and go to question 19
    • negative amount, insert a 0 (zero) at label 18A and calculate the entity's undeducted expenditure by subtracting the entity’s total assessable receipts from its total deductible expenditure (16T - 15I) and insert the result at label 18B.

    Question 19: Calculation of the amount of instalment

    You cannot claim a refund for instalments previously paid by the entity through the PRRT instalment statement. Instalment amounts paid during the year which exceed the entity's assessed PRRT at the end of the year of tax will be either refunded or offset against any other tax debt the entity has.

    Insert at label 19C the tax payable for the instalment period, that is, the taxable profit multiplied by 40% (18A X 0.4). If the taxable profit (18A) is 0 (zero), insert a 0 (zero) at label 19C.

    If the instalment period to which this statement relates is the entity's first instalment period ending 30 September:

    • insert a 0 (zero) at labels 19D and 19E
    • insert the amount of tax payable calculated at label 19C at label 19F.

    If the instalment period to which this statement relates is the entity's second instalment period ending 31 December:

    • insert the tax payable from the entity's first instalment period ending 30 September at label 19D
    • insert a 0 (zero) at label 19E
    • calculate the entity's notional tax amount payable by subtracting the tax payable for the entity's first instalment period ending 30 September from the tax payable for the entity's current instalment period (19C - 19D), and if the result is a  
      • positive amount, insert the result at label 19F
      • negative amount or 0 (zero), insert a 0 (zero) at label 19F.
       

    The amount at label 19D is the same amount reported for the entity’s first instalment period ending 30 September.

    If the instalment period to which this statement relates is the entity's third instalment period ending 31 March:

    • insert the tax payable from the entity's first instalment period ending 30 September at label 19D
    • insert the tax payable from the entity's second instalment period ending 31 December at label 19E
    • calculate the entity's notional tax amount payable by subtracting the sum of the tax payable for the entity's first instalment period ending 30 September and the tax payable for the entity's second instalment period ending 31 December from the tax payable for the entity's current instalment period (19C - 19D - 19E) and if the result is a  
      • positive amount, insert the result at label 19F
      • negative amount or 0 (zero), insert a 0 (zero) at label 19F.
       

    The amounts at labels 19D and 19E are the same amounts as reported in the periods ending 30 September and 31 December respectively.

    Last modified: 12 Aug 2019QC 56562