Tax Laws Amendment (Tax Incentives for Innovation) Act 2016 (54 of 2016)

Schedule 2   Venture capital investment

Part 5   Requirements for entities in which VCLPs, ESVCLPs and AFOFs invest

Venture Capital Act 2002

42   Subsections 25-15(1) and (1A)

Repeal the subsections, substitute:

(1) *Innovation Australia may, on the application of a *general partner of a partnership registered as a *VCLP, an *ESVCLP or an *AFOF, determine:

(a) the matters set out in paragraphs 118-425(14)(a) and (b) of the Income Tax Assessment Act 1997; or

(b) the matters set out in paragraphs 118-425(14B)(a), (b) and (c) of that Act; or

(c) the matters set out in paragraphs 118-425(14C)(a) and (b) of that Act; or

(d) the matters set out in paragraphs 118-427(15)(a) and (b) of that Act; or

(e) the matters set out in paragraphs 118-427(15A)(a), (b) and (c) of that Act; or

(f) the matters set out in paragraphs 118-427(15B)(a) and (b) of that Act.

Note: Determining these matters allows for the relaxation of some of the requirements for eligible venture capital investments under sections 118-425 and 118-427 of the Income Tax Assessment Act 1997.

(1A) In making a determination under paragraph (1)(b) or (e), *Innovation Australia must specify in the determination a period for the purposes of paragraph 118-425(14B)(c) or 118-427(15A)(c) of the Income Tax Assessment Act 1997, as the case requires.