Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p29
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 29/31)
Character Range: 679130–681772

value calculated under section 707‑325 of the Income Tax Assessment Act 1997, if the real loss‑maker was involved in the event;
(b) it could have an indirect effect by affecting the value donor's modified market value calculated under that section and used under section 707‑325 of this Act to add an amount to the real loss‑maker's modified market value for those purposes.

Choice
 (4) A choice for the purposes of paragraph (1)(e):
 (a) may be made only by the later of:
 (i) the day on which the transferee lodges its income tax return for the first income year for which it utilises (except in accordance with section 707‑350) losses transferred to it under Subdivision 707‑A of the Income Tax Assessment Act 1997; and
 (ii) the end of 31 December 2005; and
 (b) cannot be amended, or revoked, after 31 December 2005.
Note: For the purposes of subparagraph (4)(a)(i), ignore losses to which section 713‑535 (Losses of entities whose membership interests are virtual PST assets of life insurance companies) of the Income Tax Assessment Act 1997 applies. See section 707‑355 of this Act.

Scope of this section
 (5) This section affects the modified market value of an entity that became a member of the group at the formation time only for the purposes of calculating the real loss‑maker's modified market value for the purposes of working out the available fraction for the bundle.
 (6) This section has effect for working out the available fraction of the bundle only so far as it affects the utilisation of a tax loss, film loss or net capital loss. It does not affect the utilisation of an overall foreign loss (as defined in former section 160AFD of the Income Tax Assessment Act 1936) that:
 (a) is included in the bundle; or
 (b) was transferred under Subdivision 707‑A of the Income Tax Assessment Act 1997 from an entity other than the real loss‑maker.
Note: If the bundle includes an overall foreign loss and a loss of another sort:
(a) utilisation of the overall foreign loss is limited by the available fraction for the bundle worked out apart from this section; and
(b) utilisation of the loss of the other sort is limited by the available fraction for the bundle as affected by this section, if applicable.
 (7) This section can operate in relation to only one bundle of losses transferred to the transferee under Subdivision 707‑A of the Income Tax Assessment Act 1997.

707‑329  Modified market value at a time before 8 December 2004
  Disregard an event that is described in subsection 707‑325(4) of the Income Tax Assessment Act 1997 and occurred on or before 8 December 2000 in working out under section 707‑325 of that