Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p45
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 45/54)
Character Range: 1201152–1203823

Your build to rent capital works deduction amount
44‑30 Your build to rent withholding amount

Liability for tax

44‑15  Liability for tax
  You are liable to pay *build to rent development misuse tax for an income year if you have a *build to rent misuse amount for the income year.
Note: The amount of tax is set out in the Capital Works (Build to Rent Misuse Tax) Act 2024.

Build to rent misuse amounts

44‑20  Build to rent misuse amounts
 (1) You have a build to rent misuse amount for an income year, equal to the amount worked under subsection (2), if the amount worked out under that subsection is greater than nil.
 (2) For the purposes of subsection (1), the amount is the sum of:
 (a) the amount that is the sum of your *build to rent capital works deduction amounts, worked out under section 44‑25, for each *build to rent development to which subsection (3) of this section applies for the income year (if any); and
 (b) the amount that is 10 times the sum of your *build to rent withholding amounts, worked out under section 44‑30, for each build to rent development to which subsection (3) of this section applies for the income year (if any).
 (3) For the purposes of paragraphs (2)(a) and (b), this subsection applies to a *build to rent development for an income year if:
 (a) the build to rent development *ceases to be an *active build to rent development during the income year; and
 (b) you owned the *dwellings of the build to rent development immediately before that cessation.

44‑25  Your build to rent capital works deduction amount
  Your build to rent capital works deduction amount, for a *build to rent development that *ceases to be an *active build to rent development, is the amount worked out as follows:

      Method statement
           Step 1. Identify each income year in which, at any time during the year, the *build to rent development was an *active build to rent development.
           Step 2. For each of those years:

                (a) identify each *construction expenditure area of capital works that are or include the *active build to rent development area of the *build to rent development at any time during the year; and
                (b) calculate the amount worked out by the following formula for each construction expenditure area:

            where:
            active build to rent part, of the *construction expenditure area, is the part of the area that was the *active build to rent development area, or part of the active build to rent development area at any time during the year.
            days used is the number of days in the income year that:

                (a) any entity owned or was