Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-10 - FINANCIAL TRANSACTIONS  

Division 242 - Leases of luxury cars  

Subdivision 242-D - Adjustments if total amount assessed to lessor differs from amount of interest  

Operative provisions

SECTION 242-70   Adjustments for lessee  

242-70(1)    
If:

(a) an amount is included in the lessor ' s assessable income for an income year under subsection 242-65(2) ; or

(b) an amount would have been so included if the lessor had been subject to tax on assessable income;

the lessee can deduct a corresponding amount for the same income year.

242-70(2)    
If:

(a) the lessor can deduct an amount for an income year under subsection 242-65(3) ; or

(b) the lessor could have deducted an amount under that subsection if the lessor had been subject to tax on assessable income;

a corresponding amount is included in the lessee ' s assessable income for the same income year.

242-70(3)    
The lessee cannot deduct an amount for any income year under subsection (1), and an amount is not included in the lessee ' s assessable income of any income year under subsection (2), except to the extent (if any) that the lessee could deduct the *luxury car lease payments made apart from this Division.