Income Tax Assessment Act 1997

CHAPTER 2 - LIABILITY RULES OF GENERAL APPLICATION  

PART 2-5 - RULES ABOUT DEDUCTIBILITY OF PARTICULAR KINDS OF AMOUNTS  

Division 36 - Tax losses of earlier income years  

Subdivision 36-A - Deductions for tax losses of earlier income years  

SECTION 36-15   How to deduct tax losses of entities other than corporate tax entities  

36-15(1)    


Your * tax loss for a * loss year is deducted in a later income year as follows if you are not a * corporate tax entity at any time during the later income year.
Note 1:

See section 36-17 for the deduction of a tax loss of an entity that is a corporate tax entity at any time during the later income year.

Note 2:

A tax loss can be deducted only to the extent that it has not already been utilised: see subsection 960-20(1) .



If you have no net exempt income

36-15(2)    
If your total assessable income for the later income year exceeds your total deductions (other than * tax losses), you deduct the tax loss from that excess.

If you have net exempt income

36-15(3)    
If you have * net exempt income for the later income year and your total assessable income (if any) for the later income year exceeds your total deductions (except * tax losses), you deduct the tax loss:


(a) first, from your net exempt income; and


(b) secondly, from the part of your total assessable income that exceeds those deductions.

36-15(4)    
However, if you have * net exempt income for the later income year and those deductions exceed your total assessable income, then:


(a) subtract that excess from your net exempt income; and


(b) deduct the tax loss from any net exempt income that remains.

To work out your net exempt income: see section 36-20 .



General

36-15(5)    
If you have 2 or more * tax losses, you deduct them in the order in which you incurred them.

36-15(6)    
(Repealed by No 88 of 2013)


36-15(7)    
(Repealed by No 88 of 2013)



View surrounding sectionsView surrounding sectionsBack to top


This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.