Document ID: chunk:federal_register_of_legislation:C2016C00475:clause:1_179
Version: federal_register_of_legislation:C2016C00475
Segment Type: clause
Provision Reference: sch 1 cl 179
Character Range: 60044–61357

179  Sections 26‑75, 26‑80 and 26‑85
Repeal the sections, substitute:

26‑75  Excess contributions tax cannot be deducted
  You cannot deduct under this Act an amount of *excess contributions tax that you pay.

26‑80  Financing costs on loans to pay superannuation contribution
 (1) You can only deduct under this Act a *financing cost connected with a contribution you make to a *superannuation plan if you can deduct the contribution under Subdivision 290‑B.
 (2) A financing cost connected with a contribution is expenditure incurred to the extent that it relates to obtaining finance to make the contribution, including:
 (a) interest, and payments in the nature of interest; and
 (b) expenses of borrowing.

26‑85  Borrowing costs on loans to pay life insurance premiums
 (1) You can only deduct under this Act interest on, or other expenses associated with, money you borrow to pay a premium for a *life insurance policy if:
 (a) the *risk component of the premium received by the insurer is the entire amount of the premium; and
 (b) each amount the insurer is liable to pay under the policy would be included in your assessable income if it were paid.
 (2) The risk component of a premium for a *life insurance policy means the amount of the premium worked out on the basis specified in the regulations.