Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-45 - RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS  

Division 419 - Critical minerals (tax offset for Australian production expenditure)  

Subdivision 419-D - Integrity rules  

SECTION 419-100   Reducing a company ' s CMPTI expenditure to reflect mark-ups within the company ' s group  

419-100(1)    
This section applies to a company if:

(a)    the company is entitled to a * CMPTI tax offset for * CMPTI expenditure in carrying on one or more of the company ' s * registered CMPTI processing activities; and

(b)    some or all of that expenditure (the group expenditure ) is incurred to another entity (the group entity ) for goods or services provided in relation to those activities when:

(i) the group entity is * connected with the company; or

(ii) the group entity is an * affiliate of the company or the company is an affiliate of the group entity.

Reducing the company ' s CMPTI expenditure by group mark-ups

419-100(2)    
For the purposes of this Division (other than this section), disregard so much of the company ' s group expenditure as exceeds the actual cost to the group entity of providing those goods or services.

Note:

This section can apply more than once if the company incurs CMPTI expenditure to more than one group entity.