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  • Tax losses information



    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    Complete the following tax loss items as relevant to your circumstances.

    If the trustee has chosen to apply separate AMIT treatment, you must complete the information relevant to the AMIT class to which this schedule relates.

    You do not need to lodge a separate Losses schedule.

    Balance of tax losses brought forward from prior year

    Show the undeducted amount of tax losses incurred by the entity and brought forward from the previous income year under section 36-15 of the ITAA 1997

    Uplift of tax losses of designated infrastructure project entities

    You are not required to complete this information.

    Only a company or a fixed trust that is a designated infrastructure project (DIP) entity in an income year is able to uplift its unutilised tax losses before deducting them. For more information, see Designated infrastructure project entities.

    Net forgiven amount of debt

    Tax losses brought forward are reduced by any commercial debt forgiveness amounts (Division 245 of the ITAA 1997). If a commercial debt owed by the entity is forgiven during the income year, then you should apply the net forgiven amount to reduce the following attributes of the entity in the order listed:

    • deductible revenue losses
    • net capital losses
    • certain undeducted revenue or capital expenditure, and then
    • cost base of CGT assets.

    Enter the total net forgiven amount applied to reduce tax losses (if any) incurred in years of income before the forgiveness year of income.

    Tax loss incurred (if any) during current year

    Enter the entity's tax loss for the year disregarding net exempt income and excess franking offsets.

    A limit applies to the amount you can deduct for gifts and contributions (section 26-55 of the ITAA 1997). A tax loss cannot be produced or increased by the deduction allowable under Division 30 of the ITAA 1997.

    Net exempt income

    Enter the amount of net exempt income (calculated under section 36-20) to be taken into account in calculating the entity's tax loss or carried forward tax loss.

    You must first deduct a prior year tax loss from any net exempt income in the later income year.

    Tax losses forgone

    Enter the amount of tax losses that have been forgone by the entity in this year, that is, tax losses that will not be deducted in any later income year.

    For example, an AMIT may not be able to deduct a tax loss because it does not meet the requirements of the trust loss rules in schedule 2F of the ITAA 1936.

    See also:

    Tax losses deducted

    Enter tax losses deducted during the income year under section 36-15 of the ITAA 1997.

    Tax losses carried forward to later income years

    Enter the total of tax losses to be carried forward to later income years.

      Last modified: 30 May 2019QC 58632