Income Tax Assessment Act 1997
View history note
Hide history noteSECTION 719-325 Cancellation of all losses in a bundle 719-325(1)
The ongoing head company:
(a) may choose to cancel all the losses in the * bundle of prior group losses; and
(b) may choose to cancel all the losses in a * bundle of losses to which section 719-310 applies.
719-325(2)
If the ongoing head company chooses to cancel all the losses in a * bundle, subsections (3), (4), (5), (6) and (7) operate.
719-325(3)
The ongoing head company cannot * utilise for the income year in which the application event happened more of the losses than it would have been able to utilise under Subdivision 707-C assuming:
(a) if the losses are prior group losses:
(i) the losses were in a * bundle for the income year; and
(ii) the * available fraction for the bundle were 1 for the period from the start of the income year until the event happened; and
(b) in any case - the available fraction for the bundle including the losses were 0 from the time of the event until the end of the income year.
Note:
Section 707-335 is relevant to working out how much of the losses could be utilised, because the value of the available fraction for the bundle changes during the period described in that section.
719-325(4)
The ongoing head company cannot:
(a) transfer the losses to another company under Division 170 for an income year ending after the application event; or
(b) transfer the losses to another company under Subdivision 707-A after the application event.
This subsection has effect despite subsection (3).
719-325(5)
Disregard the existence of the * bundle at and after the time of the application event for the purposes of working out the * available fraction for another * bundle of losses.
719-325(6)
The losses cannot be * utilised by any entity for an income year starting after the application event.
719-325(7)
The choice cannot be revoked.
Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited
CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.
The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.
