INCOME TAX ASSESSMENT ACT 1997
[ CCH Note: S 165-13 heading will be substituted by No 7 of 2019, s 3 and Sch 1 item 39, applicable in relation to income years starting on or after 1 July 2015. The heading will read:
165-13 Alternatively, the company must satisfy the business continuity test
This section sets out the condition that a company must meet to be able to deduct the *tax loss if:
(a) the company fails to meet a condition in subsection 165-12(2) , (3) or (4); or
(b) it is not practicable to show that the company meets the conditions in those subsections.
Other provisions may treat the company as meeting, or failing to meet, the conditions in subsections 165-12(2), (3) and (4) .
The company must satisfy the *same business test for the income year (the same business test period ). Apply the test to the *business the company carried on immediately before the time (the test time ) shown in the relevant item of the table.
|Item||If:||The test time is:|
|1||It is practicable to show there is a period that meets these conditions:
(a) the period starts at the start of the *ownership test period or, if the company came into being during the *loss year, at the time the company came into being;
(b) the company would meet the conditions in subsections 165-12(2), (3) and (4) if the period were the ownership test period for the purposes of this Act
|The latest time that it is practicable to show is in the period|
|2||Item 1 does not apply and the company was in being throughout the *loss year||The start of the loss year|
|3||Item 1 does not apply and the company came into being during the *loss year||The end of the loss year|
For the same business test: see Subdivision 165-E .
[ CCH Note: S 165-13(2) will be amended by No 7 of 2019, s 3 and Sch 1 items 40 and 41, by substituting " *business continuity test for the income year (the business continuity test period ) " for " *same business test for the income year (the same business test period ) " and " business continuity test " for " same business test " in the note, applicable in relation to income years starting on or after 1 July 2015.]