Document ID: chunk:federal_register_of_legislation:C2010C00673:body:0:p4
Version: federal_register_of_legislation:C2010C00673
Segment Type: other
Provision Reference: 
Character Range: 8116–10841

is taken for the purposes of this Division to have
incurred, at the time the mining authority is granted,
expenditure of a capital nature in relation to the qualifying
interest or qualifying interests of an amount equal to the
eligible cash bidding amount.
Transfer of entitlement to an eligible cash bidding amount
  "(5) If:
  (a) at any time before the grant of the first or only mining
authority that is related to a cash bidding exploration or
prospecting authority, a person (the 'purchaser') incurs
expenditure in acquiring a qualifying interest in relation to
the exploration or prospecting authority from another person
(the 'vendor'); and
  (b) the vendor has an entitlement to an eligible cash bidding
amount in relation to the exploration or prospecting authority;
the purchaser and vendor may agree to transfer to the purchaser
so much of the vendor's entitlement to the eligible cash
bidding amount as is specified in the agreement.
Form and content of agreement
  "(6) An agreement under subsection (5) must:
  (a) be in writing signed by or on behalf of the vendor and
the purchaser; and
  (b) specify as the amount of the entitlement that is to be
transferred to the purchaser an amount that does not exceed:
    (i) the expenditure incurred by the purchaser in acquiring
the qualifying interest in relation to the exploration or
prospecting authority;
reduced by:
    (ii) any amount of that expenditure specified in an
agreement previously made under subsection 122B(1) in relation
to the acquisition; and
  (c) be made not later than 2 months after the end of the year
of income of the purchaser in which the acquisition occurred,
or within such further time as the Commissioner allows.
Definition of entitlement to an "eligible cash bidding amount"
  "(7) If at a particular time (the 'test time'):
  (a) a person is the holder of a qualifying interest or
qualifying interests in relation to a cash bidding exploration
or prospecting authority; and
  (b) the sum of:
    (i) if the exploration or prospecting authority was granted
to the person (whether or not the person holds the authority at
the test time) - the exploration or prospecting cash bidding
payment, or the sum of the exploration or prospecting cash
bidding payments, paid before the test time in relation to the
grant of the authority; and
    (ii) in any case - all amounts (if any) specified in
agreements made (including at a time after the test time) under
subsection (5) in relation to the acquisition by the person of
qualifying interests in relation to the authority before the
test time;
exceeds:
    (iii) the sum of all amounts (if any) specified in
agreements made (including at a time after the test time) under
subsection (5)