Document ID: chunk:federal_register_of_legislation:C2004A01344:clause:1_1185y:p2
Version: federal_register_of_legislation:C2004A01344
Segment Type: clause
Provision Reference: sch 1 cl 1185Y (pt 2/3)
Character Range: 35997–38641

the person's maximum basic entitlement, the person does not satisfy the sugarcane farmers' income test for the purposes of this Part.

Person's ordinary income from all sources other than farming

 (2) For the purpose of working out a person's ordinary income from all sources other than farming during a financial year, the following provisions have effect:
 (a) the provisions of Part 3.10 other than Division 1B apply to the person and so apply as if any reference in Division 1A to a tax year were a reference to that financial year;
 (b) any return on a financial asset that the person has actually received during the financial year is taken to be ordinary income of the person.

Person's ordinary income from farming

 (3) For the purpose of working out a person's ordinary income from farming during a financial year, the following provisions have effect:
 (a) the provisions of Part 3.10 other than Division 1B apply to the person and so apply as if:
 (i) any reference in subsection 1074(1) to a tax year were a reference to that financial year; and
 (ii) subsection 1074(2) and section 1075 were omitted;
 (b) any return on a financial asset that the person has actually received during the financial year and that relates to a farm or a relevant farm asset is taken to be ordinary income of the person from farming;
 (c) if, at the end of the financial year, the value of all trading stock on hand that relates to a farm is less than the value of all such trading stock on hand at the beginning of that financial year—the amount of the difference is to be deducted from that part of the person's ordinary income from farming for that financial year that is income in the form of profits;
 (d) there is also to be deducted from the person's ordinary income from farming:
 (i) losses and outgoings that relate to a business of primary production and are allowable deductions under section 8‑1 of the Income Tax Assessment Act 1997; and
 (ii) deductions for the cost of depreciating assets that are used in a business of primary production and are allowable deductions under Subdivisions 40‑A to 40‑E (inclusive), or Division 328, of the Income Tax Assessment Act 1997; and
 (iii) contributions that are allowable deductions under sections 82AAC, 82AAD, 82AADA and 82AAF of the Income Tax Assessment Act 1936;
 (e) if a negative result is obtained after applying paragraphs (c) and (d)—the person's ordinary income from farming for the financial year is a negative income;
 (f) if paragraph (e) does not apply—the person's ordinary income from farming for the financial year is a positive income.

Person's maximum basic rate for age