Income Tax Assessment Act 1997

CHAPTER 6 - THE DICTIONARY  

PART 6-1 - CONCEPTS AND TOPICS  

Division 960 - General  

Subdivision 960-B - Utilisation of tax attributes  

SECTION 960-20   Utilisation  

960-20(1)    
None of the following can be * utilised, to the extent it has already been utilised:

(a) a * tax loss;

(b) a * net capital loss;

(c) * net exempt income.

Utilisation of losses

960-20(2)    
A * tax loss is utilised to the extent that:

(a) it is deducted from an amount of assessable income or * net exempt income; or

(b) it is reduced by applying a * total net forgiven amount; or

(c) it is *carried back.

960-20(3)    
A * net capital loss is utilised to the extent that:

(a) it is applied to reduce an amount of * capital gains; or

(b) it is reduced by applying a * total net forgiven amount.

Utilisation of net exempt income

960-20(4)    
* Net exempt income for an income year is utilised to the extent that:

(a) it is subtracted:

(i) from deductions; or

(ii) under subsection 268-60(4) in Schedule 2F to the Income Tax Assessment Act 1936 or subsection 165-70(4) or 175-35(4) of this Act;

in determining a * tax loss for the income year; or

(b) because of it, the extent to which a tax loss can be deducted in that income year is reduced; or

(c) because of it, an amount is reduced under subsection 35-15(2) (about deferral of deductions from non-commercial business activities); or

(d) because of it, a quarantined amount is reduced under subsection 26-47(8) ; or

(e) it is reduced under subsection 65-35(3) because of a * tax offset carried forward; or

(f) because of it, an amount is reduced under step 2 of the method statement in subsection 160-10(2) (which is a step in calculating a loss carry back tax offset component).