Treasury Laws Amendment (Support for Small Business and Charities and Other Measures) Act 2024 (52 of 2024)

Schedule 6   Income tax amendments for updates to accounting standards for general insurance contracts

Part 1   Main amendments

Income Tax Assessment Act 1997

14   Subsection 995-1(1)

Insert:

applicable insurance contracts accounting standard means:

(a) unless paragraph (b) applies - *accounting standard AASB 17, as in force on 31 December 2022; or

(b) if the regulations prescribe another accounting standard (which may be AASB 17 as in force at another time) - that accounting standard.

asset for insurance acquisition cash flows has the same meaning as in the *applicable insurance contracts accounting standard.

liability for incurred claims has the same meaning as in the *applicable insurance contracts accounting standard.

Note: For how to work out the adjusted liability for incurred claims, see section 321-20.

liability for remaining coverage has the same meaning as in the *applicable insurance contracts accounting standard.

Note: For how to work out the adjusted liability for remaining coverage, see section 321-60.