Income Tax Assessment Act 1997
CHAPTER 1
-
INTRODUCTION AND CORE PROVISIONS
PART 1-4
-
CHECKLISTS OF WHAT IS COVERED BY CONCEPTS USED IN THE CORE PROVISIONS
Division 10
-
Particular kinds of assessable income
SECTION 10-5
10-5
List of provisions about assessable income
The provisions set out in the table:•
include in your assessable income amounts that are
not
*
ordinary income; and
•
vary or replace the rules that would otherwise apply for certain kinds of
*
ordinary income.
The provisions set out in the table:
Provisions of the Income Tax Assessment Act 1997 are identified in normal text. The other provisions, in bold , are provisions of the Income Tax Assessment Act 1936 .
| Accrued leave transfer payments | 15-5 | |
| alienated personal services income | 86-15 | |
| allowances | ||
| see employment | ||
| annual leave | ||
| see leave payments | ||
| annuities | 27H | |
| approved deposit fund (ADFs) | ||
| see superannuation | ||
| attributable income | ||
| see controlled foreign corporations | ||
| avoidance of tax | ||
| general | 177F | |
| diversion of income | 121H | |
| see also transfers of income | ||
| bad debts | ||
| see recoupment | ||
| balancing adjustment | ||
| see capital allowances, investments, R & D, scientific research and tax exempt entities | ||
| banking | ||
| offshore banking unit, deemed interest on payments to by owner | 121EK | |
| barter transactions | 21 , 21A , 15-2 | |
| beneficiaries | ||
| see trusts | ||
| benefits | ||
| business, non-cash | 21A | |
| consideration, non-cash | 21 | |
| meals you provide in an in-house dining facility | 32-70 | |
| see also employment and superannuation | ||
| bonus shares | ||
| see shares | ||
| bounties | 15-10 | |
| capital allowances | ||
| excess of termination value over adjustable value | ||
| generally | 40-285 | |
| for some cars | 40-370 | |
| depreciating asset in low-value pool | 40-445(2) | |
| expenditure in software development pool | 40-460 | |
| recovery of petroleum resource rent tax | 40-750(3) | |
| capital gains | 102-5 | |
| see also insurance | ||
| car expenses | ||
| cents per kilometres reimbursement of | 15-70 | |
| carried interests | ||
| carried interests, not ordinary income | 118-21 | |
| CFCs | ||
| see controlled foreign corporations | ||
| charters | ||
| see shipping | ||
| child | ||
| non-trust income of, unearned | 102AE | |
| trust income of, unearned | 102AG | |
| collecting societies | ||
| payments of royalties by copyright collecting societies | 15-22 | |
| payments of royalties by resale royalty collecting society | 15-23 | |
| company | ||
| see controlled foreign corporations, co-operative company, directors, dividends, liquidation, shareholders and shares | ||
| compensation | ||
| live stock or trees, recoveries for loss of | 385-130 | |
| profits or income, insurance or indemnity for loss of | 15-30 | |
| received by lessor for lessee ' s non-compliance with lease obligation to repair | 15-25 | |
| trading stock, insurance or indemnity for loss of | 70-115 | |
| see also insurance, live stock, recoupment and scientific research | ||
| consideration | ||
| see benefits | ||
| consolidated groups and MEC groups | ||
| Assets in relation to Division 230 financial arrangement | 701-61(3) | |
| controlled foreign corporations (CFCs) | ||
| attributable income of | 456 to 459A | |
| see also dividends and taxes | ||
| co-operative company | ||
| receipts of | 119 | |
| credit union | ||
| see co-operative company | ||
| currency gains | ||
| see foreign exchange | ||
| currency losses | ||
| see recoupment | ||
| death | ||
| see trusts | ||
| debt/equity swap | ||
| see shares and units | ||
| defence forces | ||
| allowances and benefits for service as a member of | 15-2 | |
| depreciation | ||
| see capital allowances | ||
| directors | ||
| excessive remuneration or retirement payment from company | 109 | |
| distributions | ||
| see dividends | ||
| dividends | ||
| benefit of LIC capital gain through a trust or partnership | 115-280 | |
| general | 44(1) | |
| distribution from a controlled foreign corporation | 47A(1) | |
| franked dividends, credits on | 207-20(1) , 207-35(1) , 207-35(3) | |
| see also liquidation | ||
| elections | ||
| local government, reimbursement of expenses of | 25-65 | |
| see also recoupment | ||
| electricity connections | ||
| see recoupment | ||
| [ eligible termination payments (ETPs)] (Repealed by No 15 of 2007) | ||
| employees | ||
| see shares | ||
| employment | ||
| allowances and benefits in relation to employment or rendering services | 15-2 | |
| employment termination payment | 82-10
82-65 82-70 |
|
| other payments for employment termination | 83-295 | |
| return to work payments | 15-3 | |
| see accrued leave transfer payments, leave payments, superannuation and sections 82-10A and 82-10C of the Income Tax (Transitional Provisions) Act 1997 | ||
| environment | ||
| see recoupment | ||
| farm management deposits | ||
| repayments of | 393-10 | |
| [ FIFs] (Repealed by No 114 of 2010) | ||
| films | ||
| Australian, proceeds of investment in | 26AG | |
| financial arrangements | ||
| gains from | 230-15(1) | |
| [ first home saver accounts] (Repealed by No 70 of 2015) | ||
| foreign exchange | ||
| gains | 775-15 | |
| see also recoupment | ||
| foreign income tax deduction for franked distributions | ||
| Additional Tier 1 capital exception | 15-80 | |
| foreign investment funds (FIFs) (Repealed by No 114 of 2010) | ||
| forestry agreement | ||
| amount where section 82KZMG of the 1936 Act applies | 15-45 | |
| CGT event in relation to forestry interest in agreement | 82KZMGB | |
| forestry managed investment schemes | ||
| forestry manager ' s receipts under scheme | 15-46 | |
| CGT event in relation to forestry interest in scheme for initial participant | 394-25(2) | |
| CGT event in relation to forestry interest in scheme for subsequent participant | 394-30(2) | |
| franked dividends | ||
| see dividends | ||
| funeral policy | ||
| benefit under | 15-55 | |
| general insurance companies and companies that self insure | ||
| gross premiums | 321-45 | |
| reduction in value of adjusted liability for incurred claims | 321-10 | |
| reduction in value of adjusted liability for remaining coverage | 321-50 | |
| reduction in value of outstanding claims liability | 321-80 | |
| geothermal energy | ||
| providing geothermal exploration information | 15-40 | |
| grapevines | ||
| see recoupment | ||
| horticultural plants | ||
| see recoupment | ||
| improvements | ||
| see leases | ||
| imputation | ||
| see dividends | ||
| indemnity | ||
| see compensation and recoupment | ||
| [ industrial property] (Repealed by No 88 of 2013) | ||
| [ infrastructure borrowings] (Repealed by No 4 of 2018) | ||
| insurance | ||
| bonuses | 26AH , 15-75 | |
| company, demutualisation of | 121AT | |
| life insurance, transfer of contributions by superannuation fund or approved deposit fund to | 295-260 | |
| payments from a non-resident reinsurer in respect of a loss | 148 | |
| premiums in respect of Australian business received by non-resident insurers | 143 | |
| premiums paid to a non-resident for reinsurance | 148 | |
| premiums paid to mutual insurance association | 121 | |
| premiums payable to a non-resident for insurance of property in Australia | 142(1) | |
| premiums payable to a non-resident for insuring an event that can only happen in Australia | 142(1) | |
| premiums payable to a non-resident under an insurance contract with a resident | 142(2) | |
| rebates and premiums refunded to a superannuation fund trustee | 295-320 (table item 4) | |
| see also compensation, life insurance companies and recoupment | ||
| [ intellectual property] (Repealed by No 77 of 2001) | ||
| interest | ||
| overpaid tax, on | 15-35 | |
| qualifying securities, on | 159GQ , 159GW(1) | |
| see also co-operative companies and leases | ||
| investments | ||
| prizes from investment-related lotteries | 26AJ | |
| qualifying securities, payments to partial residents made under | 159GW(2) | |
| qualifying securities, amount assessable to issuer of | 159GT(1B) | |
| qualifying securities, balancing adjustment on the transfer of | 159GS | |
| securities, variation in terms of | 159GV(2) | |
| securities lending arrangements | 26BC | |
| traditional securities, gains on the disposal or redemption of | 26BB | |
| see also films and interest | ||
| landcare operations | ||
| see recoupment | ||
| leased plant | Division 45 | |
| leases | ||
| amounts received by lessor from lessee for non-compliance with lease obligation to repair | 15-25 | |
| interest component of payments under non-leveraged finance leases | 159GK | |
| partnership leasing property under non-leveraged finance lease, new partner or contribution of capital since 14 May 1985 | 159GO | |
| premiums relating to assignment of a lease granted before 20 September 1985 | 26AB | |
| profit on disposal of previously leased motor vehicles | Subdivision 20-B | |
| leases of luxury cars | ||
| accrual amounts | 242-35 | |
| adjustment amounts (lessee) | 242-70 | |
| adjustment amounts (lessor) | 242-65 | |
| leave payments | ||
| accrued leave transfer payment | 15-5 | |
| unused annual leave payment | 83-10 | |
| unused long service leave payment | 83-80 | |
| see employment | ||
| [ life assurance companies ] (Repealed by No 89 of 2000) | ||
| life insurance companies | Subdivision 320-B | |
| limited recourse debt | ||
| excessive deduction amount (debtor) | 243-40 | |
| excessive deduction amount (partner) | 243-65 | |
| liquidation | ||
| distribution to a shareholder in winding up a company | 47(1) | |
| live stock | ||
| death or destruction of | Subdivision 385-E | |
| departing Australia and | 385-160 , 385-163 | |
| insolvency, and | 385-160 , 385-163 | |
| profits on death or disposal of | Subdivision 385-E , 385-160 | |
| see also compensation and trading stock | ||
| long service leave | ||
| see leave payments | ||
| losses | ||
| see compensation | ||
| lotteries | ||
| see investments | ||
| managed investment trusts | ||
| gains etc. from carried interests | 275-200(2) | |
| meals | ||
| see benefits | ||
| [ minerals resource rent tax] (Repealed by No 96 of 2014) | ||
| Mining | ||
| providing mining, quarrying or prospecting information | 15-40 | |
| minors | ||
| see child | ||
| motor vehicles | ||
| see car expenses and leases | ||
| mutual insurance | ||
| see insurance | ||
| non-cash benefits | ||
| see benefits and employment | ||
| notional sales and loans | ||
| adjustment amounts (lessee) | 240-110(2) | |
| adjustment amounts (lessor) | 240-105(2) | |
| notional interest | 240-35(1) | |
| profit on actual sale | 240-35(3) | |
| profit on notional sale | 240-35(2) | |
| offshore banking units | ||
| see banking | ||
| partnerships | ||
| net income of, partner ' s interest in | 92(1) | |
| uncontrolled partnership income, effect of | 94 | |
| see also leases | ||
| [ payments to members of copyright collecting societies] (Repealed by No 126 of 2009) | ||
| petroleum | ||
| resource rent tax, recovery of | 20-30(1) | |
| see also capital allowances | ||
| [ pooled depreciated property] (Repealed by No 77 of 2001) | ||
| [ pooled software] (Repealed by No 77 of 2001) | ||
| premiums | ||
| see insurance, leases and superannuation | ||
| primary production | ||
| see recoupment | ||
| prizes | ||
| see investments | ||
| profits | ||
| cross-border transfer pricing | 815-30 | |
| profit-making undertaking or plan | 15-15 | |
| sale of property acquired before 20 September 1985 for profit-making by sale | 25A | |
| see also avoidance of tax | ||
| Project pools | ||
| An amount received for the abandonment, sale or other disposal of a project | 40-830 , 40-832 | |
| property | ||
| see profits and trusts | ||
| quarrying | ||
| see mining and recoupment | ||
| R & D | ||
| balancing adjustment | 40-292 , 40-293 , 355-315 and 355-525 | |
| disposal of R & D results | 355-410 | |
| recoupments and feedstock adjustments | 355-450 | |
| rates | ||
| see recoupment | ||
| recoupment | ||
| insurance or indemnity for deductible losses or outgoings | Subdivision 20-A | |
| other recoupment for certain deductible losses or outgoings | Subdivision 20-A | |
| see also car expenses, compensation, elections and petroleum | ||
| registered emissions units | ||
| disposal of | 420-25 | |
| disposal for a non-commercial purpose | 420-40 | |
| difference between opening and closing value of | 420-45 | |
| reimbursements | ||
| see car expenses, dividends, elections, petroleum and recoupment | ||
| reinsurance | ||
| see insurance | ||
| [ repayments] (Repealed by No 66 of 2003) | ||
| [ research & development] (Repealed by No 93 of 2011) | ||
| [ residual value] (Repealed by No 88 of 2013) | ||
| retirement payments | ||
| see directors, leave payments and shareholders | ||
| rights to income | ||
| see transfers of income | ||
| roads | ||
| see timber | ||
| royalties | 15-20 | |
| schemes | ||
| see avoidance of tax | ||
| scholarship plan | ||
| benefit under | 15-60 | |
| scientific research | ||
| consideration for disposal or destruction of buildings acquired for scientific research | 73A(4) | |
| securities | ||
| see investments | ||
| services | ||
| see co-operative companies, employment, loans and trusts | ||
| shareholders | ||
| excessive remuneration or retirement payment from company | 109 | |
| loans, payments and credits from company | Division 7A of Part III | |
| see also dividends | ||
| shares | ||
| acquired in a debt/equity swap, profit on the disposal cancellation or redemption of | 63E(4) | |
| bonus shares, cost of | 6BA | |
| buy-backs | 159GZZZJ to 159GZZZT | |
| employee share schemes | Subdivisions 83A-B and 83A-C | |
| holding company shares held by a subsidiary, cancellation of | 159GZZZC to 159GZZZI | |
| see also dividends | ||
| shipping | ||
| goods shipped in Australia, amounts paid to foreign shipowners and charterers for | 129 | |
| [ small-medium enterprises (SMEs)] (Repealed by No 23 of 2018) | ||
| [ software] (Repealed by No 77 of 2001) | ||
| [ spectrum licences] (Repealed by No 77 of 2001) | ||
| subsidies | 15-10 | |
| [ sugar industry exit grants] (Repealed by No 109 of 2014) | ||
| superannuation | ||
| associated earnings on non-concessional contributions | Subdivision 292-B | |
| benefits generally | Divisions 301 to 306 | |
| benefits in breach of legislative requirements | Division 304 | |
| benefits received from older superannuation funds | 26AF , 26AFA | |
| complying fund becomes non-complying, effect of | 295-320 (table item 2) | |
| contributions to an approved deposit fund | Subdivisions 295-C and 295-D | |
| contributions to an RSA | Subdivision 295-C | |
| contributions to a superannuation fund | Subdivisions 295-C and 295-D | |
| death benefits | 302-75 , 302-85 , 302-90 , 302-145 | |
| excess concessional contributions | 291-15(a) | |
| first home super saver scheme | 313-20 | |
| foreign superannuation funds and schemes, benefits from | 305-70 | |
| member benefits | 301-20 , 301-25 , 301-35 , 301-40 , Subdivision 301-C | |
| foreign fund becoming Australian, effect of | 295-320 (table item 3) | |
| no-TFN contributions income | 295-605 | |
| release authorities, payments from | 304-20 | |
| returned contributions | 290-100 | |
| trustee ' s liability to pay tax | 295-5(2) and (3) | |
| see insurance | ||
| tax avoidance | ||
| see avoidance of tax and transfers of income | ||
| tax exempt entities | ||
| treatment of income and gains on becoming taxable | Schedule 2D | |
| taxes | ||
| see dividends, foreign investment funds, interest and recoupment | ||
| termination of employment | ||
| see directors, eligible termination payments, leave payments and shareholders | ||
| theft | ||
| see recoupment | ||
| [ timber] (Repealed by No 77 of 2001) | ||
| trading stock | ||
| change in interests in | 70-100 | |
| death of trader and | 70-105 | |
| difference between opening and closing value of | 70-35 | |
| disposal not at arm ' s length | 70-20 | |
| disposal of outside ordinary course of business | 70-90 , 70-95 | |
| see also compensation and tax exempt entities | ||
| transfer pricing | ||
| arm ' s length principle for cross-border conditions between entities | Subdivision 815-B | |
| arm ' s length principle for permanent establishments | Subdivision 815-C | |
| transfers of income | ||
| consideration for transfer of right to income | 102CA | |
| payments for transfer or disposal of property | 262 | |
| transferee, effect on of transfer of right to income | 102C | |
| transferor, effect on of transfer of right to income | 102B | |
| travel expenses | ||
| see car expenses | ||
| trusts | ||
| beneficiary under legal disability or with a vested and indefeasible interest in trust income | 100 | |
| deceased estates, income of | 101A | |
| discretionary trusts | 101 | |
| net income of a trust estate, your present entitlement to | 97 , 101 | |
| non-resident beneficiaries, liability to tax of | 98A | |
| non-resident trust estates to which you have transferred property or services, income of | 102AAZD | |
| property of applied for benefit of beneficiaries | 99B | |
| trust estate includes income from another trust estate | 94(5) | |
| trustees ' liability to tax | 98 , 99 , 99A , 102 , 102S | |
| see also avoidance of tax and superannuation | ||
| unearned income | ||
| see child | ||
| units | ||
| acquired in a debt/equity swap, profit on the disposal, cancellation or redemption of | 63E(4) | |
| water conservation | ||
| see recoupment | ||
| winding-up | ||
| see insurance and liquidation | ||
| wool clips | ||
| double wool clips, treatment of | 385-135 , 385-155 | |
| work in progress | ||
| receipt of a work in progress amount | 15-50 |
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