Income Tax Assessment Act 1936
SCHEDULE 2F
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TRUST LOSSES AND OTHER DEDUCTIONS
Division 266
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Income tax consequences for fixed trusts of abnormal trading or change in ownership
Subdivision 266-B
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Effect of change in ownership of fixed trust
SECTION 266-50
DEDUCTING PART OF A TAX LOSS
266-50(1)
If section 266-25 prevents the fixed trust from deducting a tax loss, it can deduct the part of the tax loss that is attributable to a part of the loss year. 266-50(2)
However, the trust can do this only if, assuming that that part of the loss year had been treated as the whole of the loss year for the purposes of sections 266-40 and 266-45 , the trust would have been entitled to deduct the tax loss.
View history note
Hide history noteIf section 266-25 prevents the fixed trust from deducting a tax loss, it can deduct the part of the tax loss that is attributable to a part of the loss year. 266-50(2)
However, the trust can do this only if, assuming that that part of the loss year had been treated as the whole of the loss year for the purposes of sections 266-40 and 266-45 , the trust would have been entitled to deduct the tax loss.
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