INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)
This section does not apply to the 1997-98 year of income or a later year of income.
To work out whether a PDF can deduct a tax loss in the 1997-98 year of income or a later year of income: see Subdivision 195-A of the Income Tax Assessment Act 1997 .
If a company is a PDF throughout the last day of a year of income in which it incurs a loss, the loss is not allowable as a deduction from the company's assessable income of a later year of income unless the company is a PDF throughout the later year of income.79EB(2) [Non-PDF losses]
(a) a company becomes a PDF during a year of income and is still a PDF at the end of the year of income; and
(b) the company incurs a loss in that year of income otherwise than because of section 79EA ;
subsection (1) of this section does not apply to so much of the loss as does not exceed the loss (if any) that, if the period ( ``the notional year'' ) beginning at the start of the year of income and ending immediately before the company becomes a PDF were a year of income of the company, the company would be taken to incur in the notional year.79EB(3) [Interpretation]
An expression has in this section the same meaning as in section 79E .