Document ID: chunk:federal_register_of_legislation:C2008A00145:clause:2_5:p1
Version: federal_register_of_legislation:C2008A00145
Segment Type: clause
Provision Reference: sch 2 cl 5 (pt 1/3)
Character Range: 14566–17474

5  After section 820‑680
Insert:

820‑682  Recognition of assets and liabilities—modifying application of accounting standards

Deferred tax assets and deferred tax liabilities

 (1) Despite subsections 820‑680(1) and (1A), an entity must not recognise:
 (a) a deferred tax liability (within the meaning of the *accounting standards) as a liability for the purposes of this Division; or
 (b) a deferred tax asset (within the meaning of the accounting standards) as an asset for the purposes of this Division.

Note: Subsections 820‑680(1) and (1A) require compliance with accounting standards.

Surpluses and deficits in defined benefit superannuation plans

 (2) Despite subsections 820‑680(1) and (1A), an entity must not recognise an amount relating to a defined benefit plan (within the meaning of the *accounting standards) as:
 (a) a liability for the purposes of this Division; or
 (b) an asset for the purposes of this Division.

Note: Subsections 820‑680(1) and (1A) require compliance with accounting standards.

Not applicable to ADIs

 (3) This section does not apply in relation to an entity for a period if, for the period, the entity is an *outward investing entity (ADI) or an *inward investing entity (ADI).

Not applicable to records about Australian permanent establishments

 (4) This section does not apply for the purposes of section 820‑960.

820‑683  Recognition of internally generated intangible items—modifying application of accounting standards

Accounting standards prevent recognition of some items

 (1) Subsection (2) applies in relation to an item, other than internally generated goodwill (within the meaning of *accounting standard AASB 138), if:
 (a) the item cannot be recognised under that standard as an internally generated intangible asset (within the meaning of that standard) because that standard determines that the cost of the item cannot be distinguished from the cost of developing the entity's business as a whole; and
 (b) the item would otherwise meet criteria under that standard for recognition as such an asset.

Note 1: As a general rule, an entity must comply with the accounting standards when recognising its assets for the purposes of this Division (see subsections 820‑680(1) and (1A)).

Note 2: This section does not apply to ADIs (see subsection (6)).

Entity may choose to recognise the item as an intangible asset

 (2) Despite subsections 820‑680(1) and (1A), the entity may choose to recognise the item as such an asset for a period for the purposes of this Division (other than section 820‑960).

Note: Section 820‑960 is about records for Australian permanent establishments.

 (3) A choice under subsection (2):
 (a) must be in writing and may cover more than one item; and
 (b) must be made before the due day for lodging the entity's *income tax return for the income year that is, or that includes, the period; and
 (c) subject