Tax Laws Amendment (2005 Measures No. 6) Act 2006 (13 of 2006)

Schedule 1   Consolidation: available fraction for loss utilisation purposes

Income Tax Assessment Act 1997

1   Subsection 707-320(4)

Repeal the subsection, substitute:

(4) For a *bundle of losses:

(a) subject to paragraph (b) - the available fraction is worked out to 3 decimal places, rounding up if the fourth decimal place is 5 or more; or

(b) if the available fraction worked out under paragraph (a) is 0.000 and, if it were worked out to more decimal places, it would include one or more non-zero digits - the available fraction is worked out to the number of decimal places that includes the first or only such digit, rounding up if the next decimal place is 5 or more.

Examples: For 0.000328, the available fraction is 0.0003. For 0.000086, the available fraction is 0.00009.

(4A) Subsections (1) and (2) have effect subject to subsection (4).