Tax Law Improvement Act (No. 1) 1998 (46 of 1998)

6   Averaging primary producers' tax liability (new Division 392)

1   Amendment of the Income Tax (Transitional Provisions) Act 1997

1   At the end of the Act

Add:

[The next Division is Division 392.]

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

Table of sections

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

392-1 Application of Division 392 of the Income Tax Assessment Act 1997

(1) Division 392 of the Income Tax Assessment Act 1997 applies to assessments for the 1998-99 income year and later income years.

(2) It applies to your assessment as if:

(a) it had applied to your assessment for each income year before the 1998-99 income year for which Division 16 of Part III of the Income Tax Assessment Act 1936 applied in relation to your income; and

(b) you had carried on a primary production business during each income year before the 1998-99 income year when you carried on a business of primary production; and

(c) for each income year before the 1998-99 income year you had a basic taxable income equal to your taxable income for the income year for the purposes of Division 16 of Part III of the Income Tax Assessment Act 1936.

Note: Section 149A of the Income Tax Assessment Act 1936 identifies what your taxable income for an income year is for the purposes of Division 16 of Part III of that Act.

[The next section is section 392-25.]

392-25 Transitional provision - election under section 158A of the Income Tax Assessment Act 1936

Division 392 of the Income Tax Assessment Act 1997 does not apply to your assessment for the 1998-99 income year or a later income year if you made an election under section 158A (Election that Division not apply) of the Income Tax Assessment Act 1936 relating to an income year before the 1998-99 income year.