New Business Tax System (Consolidation and Other Measures) Act (No. 1) 2002 (117 of 2002)

Schedule 12   Consolidation: amendments relating to Division 170

Income Tax Assessment Act 1997

21   At the end of section 170-155

Add:

(2) If:

(a) the*loss company has 2 or more*net capital losses it can transfer for the application year; and

(b) it made at least one of those losses apart from Subdivision 707-A and at least one of those losses because of a transfer under that Subdivision;

it can transfer under this Subdivision the losses it made because of a transfer under Subdivision 707-A onlyafter transferring under this Subdivision the losses it made apart from that Subdivision.

(3) For the purposes of subsection (2), treat a loss made by the company both apart from Subdivision 707-A and because of a transfer under that Subdivision as a loss made because of a transfer under that Subdivision.

(4) Subsection (1) has effect subject to subsection (2).