Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p10
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 10/46)
Character Range: 3078505–3081132

time.
 (3) The company also does not satisfy the *business continuity test under this section if, before the *test time, it:
 (a) started to carry on a *business it had not previously carried on; or
 (b) in the course of its business operations, entered into a transaction of a kind that it had not previously entered into;
and did so for the purpose, or for purposes including the purpose, of being taken to have carried on throughout the *business continuity test period the same business as it carried on immediately before the test time.
 (4) So far as the *business continuity test under this section is applied for the purpose of Subdivision 165‑B (which is about working out the taxable income and *tax loss for the income year of change of ownership or control), the company also does not satisfy the test if, at any time during the *business continuity test period, it incurs expenditure:
 (a) in carrying on a *business of a kind that it did not carry on before the *test time; or
 (b) as a result of a transaction of a kind that it had not entered into in the course of its business operations before the test time.

165‑211  The business continuity test—carrying on a similar business
 (1) A company also satisfies the business continuity test in relation to:
 (a) a *tax loss for an income year starting on or after 1 July 2015; or
 (b) taxable income for an income year starting on or after 1 July 2015; or
 (c) a *net capital loss for an income year starting on or after 1 July 2015; or
 (d) a debt, incurred in an income year starting on or after 1 July 2015, that the company writes off as bad;
if throughout the *business continuity test period it carries on a business (its current business) that is similar to the *business it carried on immediately before the *test time (its former business).
 (2) Without limiting the matters that may be taken into account in ascertaining whether the company's current business is similar to its former business, the following must be taken into account:
 (a) the extent to which the assets (including goodwill) that are used in its current business to generate assessable income throughout the *business continuity test period were also used in its former business to generate assessable income;
 (b) the extent to which the activities and operations from which its current business generated assessable income throughout the business continuity test period were also the activities and operations from which its former business generated assessable income;
 (c) the identity of its current business and the identity of its former business;
 (d) the extent to which any