Tax Laws Amendment (2004 Measures No. 2) Act 2004 (83 of 2004)
Schedule 1 Life insurance companies
Part 1 Amendments commencing on 30 June 2000
Income Tax Assessment Act 1997
18 After subsection 320-40(5)
(5A) This subsection covers amounts that:
(a) are related to expenses incurred by the company directly in respect of *virtual PST assets in relation to a period during which the assets were virtual PST assets; and
(b) were transferred from the *virtual PST in the income year (as mentioned in paragraph (5)(a)) because the expenses were not paid from the virtual PST as required by subsection 320-195(4).
Note: For example, the amounts were transferred out of the virtual PST under subsection 320-195(3) because fees or charges were imposed to recover those expenses (as the expenses would have been paid from assets other than virtual PST assets).