INCOME TAX ASSESSMENT ACT 1997 - SECT 170.40 The income company

INCOME TAX ASSESSMENT ACT 1997 - SECT 170.40

  (1)   The * income company must be an Australian resident and not a * prescribed dual resident.

  (2)   It must not be prevented by Division   165 or 175 from deducting the transferred amount in the * deduction year. Those Divisions do not apply to the * income company if the * loss year and the * deduction year are the same.

Note 1:   Division   165 deals with the income tax consequences of changing ownership or control of a company. Division   175 deals with using a company's tax losses to avoid income tax.

Note 2:   The condition in subsection   (2) may not apply in some cases. See section   170 - 42.