Document ID: chunk:federal_register_of_legislation:C2025C00180:clause:1_2:p12
Version: federal_register_of_legislation:C2025C00180
Segment Type: clause
Provision Reference: sch 1 cl 2 (pt 12/18)
Character Range: 809644–812380

does not apply in the case of:
 (a) a *complying approved deposit fund or a *non‑complying approved deposit fund for the *base year; or
 (b) a *complying superannuation fund or a *non‑complying superannuation fund for that year; or
 (c) a *pooled superannuation trust for that year.

Special rule for some entities
 (2A) If an entity:
 (a) has *tax losses transferred to it under Subdivision 707‑A of the Income Tax Assessment Act 1997; or
 (b) is a *corporate tax entity at any time during the *base year;
the adjusted taxable income of the entity for the base year is worked out under subsection (1) as if paragraph (1)(c) were replaced by the following provision:
 (c) the lesser of the following amounts:
 (i) the amount of any tax loss, to the extent that it is *unutilised at the end of the base year;
 (ii) the amount of the deductions for tax losses used in making your *base assessment.

Amounts assessable under Subdivision 250‑E of the Income Tax Assessment Act 1997
 (2AA) To avoid doubt, paragraph (1)(a) does not apply to a *net capital gain that is included in your assessable income under Subdivision 250‑E of the Income Tax Assessment Act 1997.

Special rule for life insurance companies
 (3) The adjusted taxable income of a *life insurance company for the *base year is worked out as follows:

      Method statement
           Step 1. Recalculate the taxable income of the *ordinary class for the *base assessment on the basis that it did not include any *net capital gain.
           Step 2. Add to the step 1 result the deductions for *tax losses of the *ordinary class that were used in making the *base assessment.
           Step 3. Reduce the step 2 result by the lesser of the following amounts:

                (a) the amount of any *tax losses of the *ordinary class, to the extent that they are *unutilised at the end of the *base year;
                (b) deductions for tax losses of the ordinary class that were used in making the *base assessment.

           Step 4. Add to the step 3 result the taxable income of the *complying superannuation class for the *base assessment.
           Step 5. Add to the step 4 result the deductions for *tax losses of the *complying superannuation class that were used in making the *base assessment.
           Step 6. Reduce the step 5 result by the lesser of the following amounts:

                (a) the amount of any *tax losses of the *complying superannuation class, to the extent that they are *unutilised at the end of the *base year;
                (b) deductions for tax losses of the complying superannuation class that were used in making the *base assessment.

            The result of this step is the adjusted taxable income of the company