Document ID: chunk:federal_register_of_legislation:C2010C00679:section:1987:p35
Version: federal_register_of_legislation:C2010C00679
Segment Type: section
Provision Reference: s 1987 (pt 35/51)
Character Range: 98214–100926

the unit;
and
  (d) to be an amount of qualifying building expenditure in relation to the
transferee in relation to:
    (i) if subparagraph (b)(i) applies - the year of income of the
transferee in which the disposal took place; and
    (ii) if subparagraph (b)(ii) applies - the first subsequent year
of income of the transferee.
(Pre-21 November 1987 rule not applicable to transferee)
  "(7) Subsection 73B(5A) does not apply in relation to the acquisition of the
unit by the transferee.
(Modification of 5-year deduction disallowance rule)
  "(8) A reference in subsection 73B(28) to the day on which the transferee
commenced to use the unit exclusively for the purpose of the carrying on by or
on behalf of the transferee of research and development activities is to be
read as a reference to:
  (a) the day on which the transferor first used the unit exclusively for the
purpose of the carrying on by or on behalf of the transferor of research and
development activities; or
  (b) if there have been 2 or more prior successive applications of this
section - the earliest day on which a prior successive transferor first used
the unit exclusively for the purpose of the carrying on by or on behalf of the
prior successive transferor of research and development activities.
(Deemed cessation of use by transferee - 5-year deduction disallowance rule)
  "(9) For the purposes of the application of subsection 73B(28) and
subsection (10) of this section to the transferee, if, immediately after the
disposal of the property to the transferee took place, the transferee did not
commence to use the unit exclusively for the purpose of the carrying on by or
on behalf of the transferee of research and development activities, the
transferee is taken to have ceased to use the unit for that purpose
immediately after the disposal took place.
(Adjustments where 5-year deduction disallowance rule applies)
  "(10) If:
  (a) after the disposal of the unit to the transferee, the transferee:
    (i) disposes of the unit; or
    (ii) ceases to use the unit exclusively for the purpose of the
carrying on by or on behalf of the transferee of research and development
activities; and
  (b) subsection 73B(28) applies in relation to the disposal of the unit by
the transferee or in relation to the cessation of use by the transferee;
then:
  (c) the transferee's assessable income of the year of income in which the
acquisition of the unit by the transferee took place includes:
    (i) the total amount allowed or allowable as deductions to the
transferor under subsection 73B(17) in relation to the unit; or
    (ii) if there have been 2 or more prior successive applications of
this section - the total amount allowed