Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p38
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 38/95)
Character Range: 5644950–5647742

to another entity in relation to *exploration investment made by the entity in the minerals explorer in the credit year unless the *issue pool for exploration investment in the preceding year is exhausted.

Scenario 3—exploration credits for the credit year are equal to or less than the unused allocation of exploration credits from the preceding year
 (7) If the amount of the *exploration credits created by the minerals explorer for the credit year is equal to or less than the *unused allocation of exploration credits from the preceding year:
 (a) no exploration credits can be issued to another entity in relation to *exploration investment made by the entity in the minerals explorer in the credit year; and
 (b) exploration credits can be issued to another entity in relation to exploration investment made by the other entity in the minerals explorer in the preceding year.
 (8) In this scenario:
 (a) the issue pool for *exploration investment made in the minerals explorer in the credit year is nil; and
 (b) the issue pool for exploration investment made in the minerals explorer in the preceding year is equal to the total amount of *exploration credits created by the minerals explorer for the credit year.

418‑116  Exploration credits issued must be in proportion to exploration investment
  If an *exploration credit is issued by an entity (the minerals explorer) for an income year to another entity (the investor) in relation to *exploration investment made by the investor in the minerals explorer in an income year (the investment year):
 (a) the proportion of the *issue pool for exploration investment made in the minerals explorer in the investment year that is issued to the investor as an exploration credit must be the same as the proportion of the total exploration investment in the minerals explorer in the investment year that is represented by the investor's exploration investment in the minerals explorer in the investment year; and
 (b) the minerals explorer must issue an exploration credit to every entity who made an exploration investment in the minerals explorer in the investment year.

418‑120  The total of all exploration credits issued in relation to exploration investment
  The total amount of all *exploration credits issued by an entity (the minerals explorer) to another entity (the investor) in relation to *exploration investment made by the investor in the minerals explorer in an income year (the investment year) must not exceed the amount worked out using the following formula:

418‑125  Expiry of exploration credits
  An *exploration credit created by an entity for an income year (the credit year) expires if the entity does not issue the credit under this Subdivision on or before 30 June in the financial year that corresponds to