Income Tax Assessment Act 1997
The amount of your *tax offset is equal to 13% of the following:
|Your total net small business income for the income year||
Your basic income tax liability for the income year
|Your taxable income for the income year|
(a) your *net small business income for the income year, if you are a *small business entity for the income year;
(b) an amount referred to in paragraph 328-355(b) or (c) that is included in your assessable income for the income year, reduced (but not below zero) by your deductions to the extent that they are attributable to that amount and covered by section 328-370 .
If you are under 18 years old, your total net small business income will probably be worked out under section 328-375 .
[ CCH Note: S 328-360(1) will be amended by No 41 of 2017 (as amended by No 134 of 2018), s 3 and Sch 2 item 4, by substituting " 16% " for " 13% " , effective 1 July 2021 and applicable to the 2021-22 income year and later income years.]
However, the amount of your *tax offset is $1,000 if the amount worked out under subsection (1) exceeds $1,000.
Your tax offset is capped at $1,000 regardless of the number of small business entities that cause you to be entitled to the tax offset for the income year.
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