A New Tax System (Goods and Services Tax) Act 1999

Chapter 4 - The special rules  

Part 4-4 - Special rules mainly about net amounts and adjustments  

Note:

The special rules in this Part mainly modify the operation of Part 2-4 , but they may affect other Parts of Chapter 2 in minor ways.

Division 129 - Changes in the extent of creditable purpose  

Subdivision 129-D - Amounts of adjustments for acquisitions and importations  

129-75   The amount of a decreasing adjustment  

The amount of a * decreasing adjustment that you have under Step 4 of the Method statement in section 129-40 for the thing acquired or imported is worked out as follows:

where:

full input tax credit
is the amount of the input tax credit to which you would have been entitled for acquiring or importing the thing for the purpose of your * enterprise if:

(a) the acquisition or importation had been solely for a * creditable purpose ; and

(b) in the case where the supply to you was a * taxable supply because of section 72-5 or 84-5 - the supply had been or is a * taxable supply under section 9-5 .