Document ID: chunk:federal_register_of_legislation:C2004A00445:clause:1_4:p2
Version: federal_register_of_legislation:C2004A00445
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 2/3)
Character Range: 28864–31483

amount you can deduct under this section.
Note: You may also be able to deduct an amount for the current year under section 380‑10 if you continue to hold the old spectrum licence after the replacement.

380‑70  Effect if the amount arising exceeds your unrecouped expenditure

 (1) This section sets out the effect of *replacing some or all of an *old spectrum licence if the *amount arising from the replacement exceeds your *unrecouped expenditure on the old spectrum licence just before the replacement.

 (2) Your *unrecouped expenditure is reduced to nil (if it is not nil already) when the *replacement happens, and the excess is included in your assessable income for the income year in which that happens.

 (3) However, the amount included in your assessable income cannot exceed:
 • the total of each amount (if any) you can deduct or have deducted for the *old spectrum licence for the *current year or an earlier income year under this Division;
reduced by:
 • the total of each amount (if any) included in your assessable income for an income year, in respect of the old spectrum licence, under this Division.

Note: An amount may be included in your assessable income under this section (because of a previous replacement), under section 380‑40 (because of a partial realisation) or under section 380‑85 (because of a balancing adjustment event).

380‑75  Old spectrum licence varied because of the replacement

  To avoid doubt, this Division applies as if an *old spectrum licence that you continue to hold after it is varied because of a *replacement were the same spectrum licence as before it was varied.

Subdivision 380‑D—Balancing adjustments

Table of sections

380‑80 When a balancing adjustment is required
380‑85 How to do the balancing adjustment
380‑90 Meaning of termination value

380‑80  When a balancing adjustment is required

 (1) A balancing adjustment is required if:
 (a) you have incurred *expenditure in obtaining a *spectrum licence; and
 (b) you have ever used the spectrum licence for the *purpose of producing assessable income; and
 (c) a *balancing adjustment event happens in the *current year at a time when you hold the spectrum licence.

 (2) However, a balancing adjustment is not required if:
 (a) some or all of the *spectrum licence is *replaced by another spectrum licence that you hold after the replacement (Subdivision 380‑C applies instead); or
 (b) roll‑over relief is available under Common rule 1 (see Subdivision 380‑E).

 (3) A balancing adjustment event is an event listed in the table.

Balancing adjustment events
Item                         Event