Document ID: chunk:federal_register_of_legislation:C2025C00126:section:5:p32
Version: federal_register_of_legislation:C2025C00126
Segment Type: section
Provision Reference: s 5 (pt 32/33)
Character Range: 610077–612763

payments: see section 111‑20.
 (2) The fact that the supply to you is not a *taxable supply does not stop the acquisition being a *creditable acquisition.
 (3) However, the acquisition is not a *creditable acquisition:
 (a) to the extent (if any) that:
 (i) the employee, *associate, agent, *officer or partner is entitled to an input tax credit for acquiring the thing acquired in incurring the expense; or
 (ii) the acquisition would not, because of Division 69, be a creditable acquisition if you made it; or
 (b) unless the supply of the thing acquired, by the employee, associate, agent, officer or partner in incurring the expense, was a taxable supply; or
 (c) if you would, because of Division 71, not have been entitled to an input tax credit if you had made the acquisition that the employee, associate, agent, officer or partner made.
 (3AA) In working out the extent to which a person is entitled to an input tax credit for the purposes of paragraph (3)(a), disregard sections 131‑40 and 131‑50 (which are about amounts of input tax credits under the annual apportionment rules).
 (3A) If you are a *partnership, this section does not apply to your reimbursement of a partner for an expense he or she incurs if, even without this Division applying, you are entitled to an input tax credit arising from the incurring of the expense.
 (4) This section has effect despite section 11‑5 (which is about what is a creditable acquisition).

111‑10  Amounts of input tax credits relating to reimbursements
 (1) The amount of the input tax credit for a *creditable acquisition the *consideration for which is a reimbursement to which section 111‑5 applies is an amount equal to 1/11 of the amount of the reimbursement.
 (2) However, if:
 (a) the person incurring the expense incurs it in the capacity of an agent, *officer or partner; and
 (b) the incurring of the expense is only in part related directly to his or her activities as your agent or officer, or as a partner, as the case requires;
the amount of the input tax credit under subsection (1) is reduced by an extent equivalent to the extent to which the incurring of the expense is not related directly to those activities.
 (3) This section has effect despite section 11‑25 (which is about the amount of input tax credits for creditable acquisitions).

111‑15  Tax invoices relating to reimbursements
  For the purposes of subsection 29‑10(3), you are taken to hold a *tax invoice for a *creditable acquisition the *consideration for which is a reimbursement to which section 111‑5 applies if you hold a tax invoice for the *taxable supply referred to in subsection 111‑5(3).

111‑18  Application of Division to volunteers