Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p1
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 1/13)
Character Range: 802745–805400

3                                       268‑60 in Schedule 2F to the Income Tax Assessment Act 1936  Trust—income year when ownership or control changed

36‑45  Limit on deductions for amounts paid

Tax losses generally
 (1) The total of your deductions under subsection 36‑40(1) for amounts paid in the income year for debts incurred in the *loss year cannot exceed the amount of the *tax loss reduced by the sum of:
 (a) your deductions under that subsection for amounts paid in earlier income years for debts incurred in the loss year; and
 (b) any amounts of the tax loss *utilised in earlier income years; and
 (c) any amounts of the tax loss that, apart from section 36‑35, would have been deductible from your *net exempt income for the income year or earlier income years.

Film losses
 (2) The total of your deductions under subsection 36‑40(2) for amounts paid in the income year for debts incurred in the *loss year cannot exceed the amount of the *film loss reduced by the sum of:
 (a) your deductions under that subsection for amounts paid in earlier income years for debts incurred in the loss year; and
 (b) any amounts of the film loss deducted in earlier income years; and
 (c) any amounts of the film loss that, apart from section 36‑35, would have been deductible from your *net exempt film income for the income year or earlier income years.

Subdivision 36‑C—Excess franking offsets

Guide to Subdivision 36‑C

36‑50  What this Subdivision is about
      Amounts of tax offsets to which a corporate tax entity is entitled under Division 207 and Subdivision 210‑H may in some circumstances be converted into an amount of a tax loss for the entity.

Table of sections

Operative provision
36‑55 Converting excess franking offsets into tax loss

Operative provision

36‑55  Converting excess franking offsets into tax loss

Excess franking offsets
 (1) An entity that is a *corporate tax entity at any time during an income year has an amount of excess franking offsets for that year if:
 (a) the total amount of *tax offsets to which the entity is entitled for that year under Division 207 and Subdivision 210‑H (except those that are subject to the refundable tax offset rules because of section 67‑25);
exceeds:
 (b) the amount of income tax that the entity would have to pay on its taxable income for that year if:
 (i) it did not have those tax offsets; and
 (ii) it did not have any tax offsets that are subject to the tax offset carry forward rules or the refundable tax offset rules; and
 (iii) it did not have any tax offset under section 205‑70;
  but had all its other tax offsets.
The excess is the amount of excess franking