Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-90 - CONSOLIDATED GROUPS  

Division 716 - Miscellaneous special rules  

Subdivision 716-Z - Other  

SECTION 716-850   Grossing up threshold amounts for periods of less than 365 days  

716-850(1)  


Under some provisions of this Act, something that is relevant to working out:


(a) an entity ' s taxable income (if any); or


(b) the income tax (if any) payable on an entity ' s taxable income; or


(c) an entity ' s loss (if any) of a particular * sort;

is determined on the basis of a comparison between an amount worked out for an income year, or an amount *derived from 2 or more such amounts, and another amount.

Note:

The other amount assumes an income year of 365 days.

716-850(2)  
This section affects how such a provision (the threshold provision ) operates for the purposes of subsection 701-30(3) , which requires each thing covered by paragraph (1)(a), (b) or (c) of this section to be worked out for an entity for a non-membership period (under section 701-30 ) during an income year.

Note:

A non-membership period is a period (of less than an income year) when the entity is not a subsidiary member of any consolidated group.

716-850(3)  
An amount that would otherwise be worked out for the non-membership period, for the purposes of the comparison under the threshold provision, is instead:


(a) to be worked out by reference to the period (the reference period ) starting at the start of the income year and ending at the end of the non-membership period; and


(b) then to be grossed up by multiplying it by this fraction:


                                                  365                                                  
Number of days in reference period


 

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