Tax Laws Amendment (Small Business) Act 2007 (80 of 2007)
Schedule 3 STS taxpayers
Part 2 Consequential amendments
Income Tax Assessment Act 1997
147 Subsection 61-520(2) (method statement, steps 3, 4 and 5)
Repeal the steps, substitute:
Step 3. Work out the percentage (the small business percentage ) using the formula:
If that percentage is more than 100%, the small business percentage is 100%.
Step 4. If the trusts *aggregated turnover for the year is $50,000 or less, multiply the amount at step 2 by the small business percentage: the result is the amount of your *tax offset.
Step 5. If the trusts *aggregated turnover for the year is more than $50,000, work out the fraction (the small business phase-out fraction ) using the formula:
The amount of your *tax offset is worked out using the formula: