Document ID: chunk:federal_register_of_legislation:C2008A00145:clause:2_5:p2
Version: federal_register_of_legislation:C2008A00145
Segment Type: clause
Provision Reference: sch 2 cl 5 (pt 2/3)
Character Range: 17266–19962

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 to subsection (4), has effect, for the entity and the item, for the period and each later period.

 (4) The entity may, in writing, revoke a choice under subsection (2). The revocation has effect:
 (a) for each period in the income year for which the entity is next required to lodge an *income tax return; and
 (b) for each later period.

 (5) When:
 (a) recognising an item as an asset under this section; and
 (b) calculating the value of the asset (including revaluing the asset);
the entity must, to the maximum extent possible, comply with the *accounting standards as if the recognition were allowed by those standards. This subsection has effect subject to section 820‑684.

Note: Section 820‑684 will allow the entity to revalue the asset even if accounting standard AASB 138 would prevent this because of the absence of an active market.

Choice not available to ADIs

 (6) An entity cannot make a choice under subsection (2) for a period if, for the period, the entity is an *outward investing entity (ADI) or an *inward investing entity (ADI).

820‑684  Valuation of intangible assets if no active market—modifying application of accounting standards

Accounting standards prevent revaluation of some assets

 (1) Subsection (2) applies if complying with *accounting standard AASB 138 would prevent an entity from revaluing an intangible asset (within the meaning of that standard) because of the absence of an active market (within the meaning of that standard).

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

Note 2: This section does not apply to ADIs (see subsection (7)).

Entity may choose to revalue the asset

 (2) Despite subsection 820‑680(1), the entity may choose to revalue the 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 asset; 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 to subsection (4), has effect, for the entity and the item, for the period and each later period.

 (4) The entity may, in writing, revoke a choice under subsection (2). The revocation has effect:
 (a) for each period in the income year