Document ID: chunk:federal_register_of_legislation:C2010C00615:clause:2_84:p9
Version: federal_register_of_legislation:C2010C00615
Segment Type: clause
Provision Reference: sch 2 cl 84 (pt 9/26)
Character Range: 152586–155379

the end of the previous income year, the difference is included in assessable income: see paragraph 320‑15(h).

Note 2: Section 320‑85 of the Income Tax (Transitional Provisions) Act 1997 makes special provision in respect of the calculation of the value of a life insurance company's liabilities under the net risk components of life insurance policies at the end of the income year immediately preceding the income year in which 1 July 2000 occurs.

 (2) A *life insurance company can deduct an amount under this section in respect of a *life insurance policy only if the company can deduct under section 320‑80 an amount for the *risk components of claims paid under the policy.

 (3) If a *life insurance policy is a *disability policy (other than a *continuous disability policy), the value at a particular time of the liabilities of the *life insurance company under the *net risk component of the policy is the *current termination value of the component at that time (calculated by an *actuary).

 (4) In the case of *life insurance policies other than policies to which subsection (3) applies, the value at a particular time of the liabilities of the *life insurance company under the *net risk components of the policies is the amount calculated by an *actuary to be:
 (a) the sum of the policy liabilities (as defined in the *Valuation Standard) in respect of the net risk components of the policies at that time;
less
 (b) the sum of any cumulative losses (as defined in the Valuation Standard) for the net risk components of the policies at that time.

320‑87  Deduction for assets transferred from or to virtual PST

  If an asset (other than money) is transferred from a *virtual PST under subsection 320‑180(1) or 320‑195(2) or (3), or is transferred to a virtual PST under subsection 320‑180(2) or section 320‑185, the *life insurance company can deduct the amount (if any) that it can deduct because of section 320‑200.

320‑100  Deduction for life insurance premiums paid under contracts of reinsurance

  A *life insurance company can deduct amounts paid in the income year as *life insurance premiums under *contracts of reinsurance.

320‑105  Deduction for assets transferred to segregated exempt assets

 (1) A *life insurance company can deduct the *transfer values of assets transferred in the income year to the company's *segregated exempt assets under subsection 320‑235(2) or 320‑240(1).

 (2) If an asset (other than money) is transferred to a *life insurance company's *segregated exempt assets under subsection 320‑235(2) or section 320‑240, the company can deduct the amount (if any) that it can deduct because of section 320‑255.

320‑110  Deduction for interest credited to income bonds

  A *life insurance company that is a *friendly society can deduct