Treasury Laws Amendment (Tax Accountability and Fairness) Act 2024 (37 of 2024)

Schedule 5   Petroleum resource rent tax deductions cap

Petroleum Resource Rent Tax Assessment Act 1987

7   After subsection 97(1B)

Insert:

(1BA) However, if a person was taken under subsection 22(3) or (4) to have a taxable profit in relation to the project and the financial year immediately preceding the year of tax, then:

(a) subsection (1) of this section does not apply to the person in relation to the project and the year of tax; and

(b) subject to subsection (2) of this section, the notional tax amount of the person, in relation to the project and an instalment period in the year of tax, is the tax that would, if the instalment period were a year of tax, be payable on the amount worked out in accordance with the formula:

where:

current period receipts means:

(a) if the project is not a Greater Sunrise project - the assessable receipts derived by the person in relation to the project in the instalment period; or

(b) if the project is a Greater Sunrise project - the assessable receipts derived by the person in relation to the project in the instalment period multiplied by the apportionment percentage figure for the instalment period.

previous period receipts means:

(a) if the instalment period is the first instalment period in the year of tax - nil; or

(b) if paragraph (a) does not apply - the current period receipts for the instalment period that ended most recently before the end of the instalment period.

(1BB) For the purposes of subsection (1BA), if the whole or a part of the assessable petroleum receipts that would be taken into account in working out the current period receipts were determined under paragraph 24(1)(d) or (e) (the special calculation provisions ), then, in calculating the current period receipts:

(a) any assessable petroleum receipts determined under the special calculation provisions are to be excluded; and

(b) the amount worked out in accordance with the regulations in respect of those assessable petroleum receipts is to be included.