Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-45 - RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS  

Division 360 - Early stage investors in innovation companies  

Subdivision 360-A - Tax incentives for early stage investors in innovation companies  

Operative provisions

SECTION 360-30   Amount of the tax offset - members of trusts or partnerships  

360-30(1)    
If subsection 360-15(2) applies, the amount of the *member ' s *tax offset for the income year is as follows:

Determined share of notional tax offset × Notional tax offset amount

where:

determined share of notional tax offset
is the percentage determined under subsection (2) for the *member.

notional tax offset amount
is what would, under section 360-25 , have been the amount of the trust ' s or partnership ' s *tax offset (the notional tax offset ) if the trust or partnership had been an individual.

360-30(1A)    
However, reduce the amount worked out under subsection (1) to the extent necessary to ensure that the sum of the following does not exceed $200,000:

(a) the sum of the *tax offsets under this Subdivision for the income year for which the member and the member ' s *affiliates (if any) are entitled;

(b) the sum of the tax offsets under this Subdivision that the member and the member ' s affiliates (if any) carry forward to the income year.

360-30(2)    
The trustee or partnership may determine the percentage of the notional tax offset that is the *member ' s share of the notional tax offset.

360-30(3)    
If, under the terms and conditions under which the trust or partnership operates, the *member would be entitled to a fixed proportion of any *capital gain from a *disposal:

(a) relating to the trust or partnership; and

(b) of the *shares that gave rise to the notional tax offset; and

(c) happening at the end of the income year to which the notional tax offset relates;

the percentage determined under subsection (2) must be equivalent to that fixed proportion, and a determination of any other percentage has no effect.

360-30(4)    
The trustee or partnership must give the *member written notice of the determination. The notice:

(a) must enable the member to work out the amount of the member ' s *tax offset by including enough information to enable the member to work out the member ' s share of the notional tax offset; and

(b) must be given to the member within 3 months after the end of the income year, or within such further time as the Commissioner allows.

360-30(5)    
The sum of all the percentages determined under subsection (2) in relation to the *members of the trust or partnership must not exceed 100%.