Tax Laws Amendment (2004 Measures No. 2) Act 2004 (83 of 2004)

Schedule 12   Personal service business determinations

Part 1   Amendments applying from the 2000-2001 income year

Income Tax Assessment Act 1997

4   At the end of section 87-60

Add:

Third alternative - unrelated clients test was met but 80% or more of income from same source because of unusual circumstances

(5) The conditions in this subsection are that:

(a) the individual could reasonably be expected to meet, or met, the unrelated clients test under section 87-20; and

(b) because of unusual circumstances applying to the individual in the income year, 80% or more of the individual's *personal services income (not including income mentioned in subsection 87-15(4)) could reasonably have been expected to be, or would have been, income from the same entity (or one entity and its *associates); and

(c) the individual's personal services income could reasonably be expected to be, or was, from the individual conducting activities that met the unrelated clients test under section 87-20.