Income Tax Assessment Act 1997
CHAPTER 3
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SPECIALIST LIABILITY RULES
PART 3-45
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RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS
Division 418
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Exploration for minerals
The Commissioner may make a written determination allocating *exploration credits of an amount specified in the determination to an entity for an income year. Circumstances in which the Commissioner must not make a determination 418-101(2)
The Commissioner must not make a determination allocating *exploration credits to an entity for an income year if the Commissioner is not satisfied that:
(a) there is a reasonable possibility that the entity will have:
(b) the entity meets any other requirement prescribed under the regulations. Amount of the exploration credits allocated 418-101(3)
The amount of the *exploration credits specified in the determination must be the smallest of the following amounts:
(a) the entity ' s estimated *greenfields minerals expenditure for the income year multiplied by the entity ' s estimated *corporate tax rate for the income year;
(b) the entity ' s estimated *tax loss for the income year multiplied by the entity ' s estimated corporate tax rate for the income year;
(c) either:
A determination made under subsection (1) is not a legislative instrument.
Subdivision 418-DA
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Exploration credits allocation
SECTION 418-101
Determination by the Commissioner
Determination allocating exploration credits
418-101(1)
The Commissioner may make a written determination allocating *exploration credits of an amount specified in the determination to an entity for an income year. Circumstances in which the Commissioner must not make a determination 418-101(2)
The Commissioner must not make a determination allocating *exploration credits to an entity for an income year if the Commissioner is not satisfied that:
(a) there is a reasonable possibility that the entity will have:
(i) *greenfields minerals expenditure of the amount estimated by the entity in the application, or greater; and
(ii) a *tax loss of the amount estimated by the entity in the application, or greater; and
(iii) the *corporate tax rate estimated by the entity in the application; and
(b) the entity meets any other requirement prescribed under the regulations. Amount of the exploration credits allocated 418-101(3)
The amount of the *exploration credits specified in the determination must be the smallest of the following amounts:
(a) the entity ' s estimated *greenfields minerals expenditure for the income year multiplied by the entity ' s estimated *corporate tax rate for the income year;
(b) the entity ' s estimated *tax loss for the income year multiplied by the entity ' s estimated corporate tax rate for the income year;
(c) either:
(i) 5% of an amount equal to the *annual exploration cap for the income year; or
Determination not a legislative instrument 418-101(4)
(ii) if another amount, or a method for working out another amount, is prescribed - the other amount.
A determination made under subsection (1) is not a legislative instrument.
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