INCOME TAX ASSESSMENT ACT 1997
Subsection (2) applies in relation to an item, other than internally generated goodwill (within the meaning of *accounting standard AASB 138), if:
(a) the item cannot be recognised under that standard as an internally generated intangible asset (within the meaning of that standard) because that standard determines that the cost of the item cannot be distinguished from the cost of developing the entity ' s business as a whole; and
(b) the item would otherwise meet criteria under that standard for recognition as such an asset.
This section does not apply to ADIs (see subsection (6)).Entity may choose to recognise the item as an intangible asset 820-683(2)
Despite subsections 820-680(1) and (1A) , the entity may choose to recognise the item as such an asset for a period for the purposes of this Division (other than section 820-960 ).
Section 820-960 is about records for Australian permanent establishments.820-683(3)
A choice under subsection (2):
(a) must be in writing and may cover more than one item; and
(b) must be made before the due day for lodging the entity ' s *income tax return for the income year that is, or that includes, the period; and
(c) subject to subsection (4), has effect, for the entity and the item, for the period and each later period. 820-683(4)
The entity may, in writing, revoke a choice under subsection (2). The revocation has effect:
(a) for each period in the income year for which the entity is next required to lodge an *income tax return; and
(b) for each later period. 820-683(5)
(a) recognising an item as an asset under this section; and
(b) calculating the value of the asset (including revaluing the asset);
the entity must, to the maximum extent possible, comply with the *accounting standards as if the recognition were allowed by those standards. This subsection has effect subject to section
Section 820-684 will allow the entity to revalue the asset even if accounting standard AASB 138 would prevent this because of the absence of an active market.Choice not available to ADIs 820-683(6)
An entity cannot make a choice under subsection (2) for a period if, for the period, the entity is an *outward investing entity (ADI) or an *inward investing entity (ADI).