Document ID: chunk:federal_register_of_legislation:C2010C00615:clause:1_50
Version: federal_register_of_legislation:C2010C00615
Segment Type: clause
Provision Reference: sch 1 cl 50
Character Range: 103428–104560

50  After subsection 170‑220(3)
Insert:

 (3A) To avoid doubt in applying paragraph (3)(c) in relation to a *share or debt, if factors other than the loss altered the market value of the share or debt, the extent to which the loss reduced that market value is taken to be the extent to which that market value would have been reduced apart from those other factors.

Note: An example of a factor other than the loss is the unrealised value of assets (including assets in respect of which there is an unrealised gain) of the loss company, whether or not generated by outlays or economic losses reflected in the loss for income tax purposes.

 (3B) This section applies to a *net capital loss only to the extent that the loss represents an outlay or loss of any of the economic resources of the *loss company.

Note: Where the income tax law allows, as all or part of a loss, an amount for plant depreciation that exceeds the actual economic depreciation or depletion of the plant concerned, the excess is not to be regarded for the purposes of this subsection as representing an outlay or loss of economic resources of the company.