Document ID: chunk:federal_register_of_legislation:C2010C00578:clause:7_16
Version: federal_register_of_legislation:C2010C00578
Segment Type: clause
Provision Reference: sch 7 cl 16
Character Range: 79987–81219

16  Section 165‑126
Repeal the section, substitute:

165‑126  Alternatively, company must carry on same business

 (1) This section sets out the condition that the company must meet to be able to deduct a debt or part of a debt that it writes off as bad in the *current year if:
 (a) either:
 (i) the company fails to meet a condition in subsection 165‑123(2), (3) or (4); or
 (ii) it is not practicable to show that the company meets the conditions in those subsections; and
 (b) paragraph 165‑120(1)(b) (about the Commissioner thinking it is unreasonable to require the company to meet the conditions in section 165‑123) does not apply.

Note: Other provisions may treat the company as meeting, or failing to meet, the conditions in subsections 165‑123(2), (3) and (4).

 (2) The company must satisfy the *same business test for the *second continuity period (the same business test period). Apply the test to the *business the company carried on immediately before the time (the test time) shown in the relevant item of the table.

Test time
Item       If:                                                                                                                                                          The test time is: