Document ID: chunk:federal_register_of_legislation:C2005C00282:clause:2_73bf:p2
Version: federal_register_of_legislation:C2005C00282
Segment Type: clause
Provision Reference: sch 2 cl 73BF (pt 2/3)
Character Range: 68490–71179

increased by the amount worked out using the formula:
where:

adjusted subsection (1) amount means:
 (a) if the subsection (1) amount is a deduction—the amount of the deduction; or
 (b) if the subsection (1) amount is an amount included in the eligible company's assessable income—so much of the subsection (1) amount as does not exceed the formula component total decline in value.

sum of all 1.25 rate notional Division 40/42 deductions means the sum of all notional Division 40 deductions or notional Division 42 deductions that were multiplied by 1.25 in working out the deductions mentioned in paragraph (1)(b) for the section 73BA depreciating asset.

total decline in value means the cost of the section 73BA depreciating asset, less its adjustable value, just before the balancing adjustment event, where that cost and adjustable value are the amounts taken into account in applying Subdivision 40‑D of the Income Tax Assessment Act 1997 in accordance with paragraph (1)(d) for the purpose of working out the subsection (1) amount.

Assessability of amounts received in respect of results etc. of research and development activities

 (4) Subject to subsections (5) and (6), if:
 (a) an eligible company has incurred any expenditure in respect of which:
 (i) a deduction under section 73BA or 73BH has been allowed or is allowable to the company, or would have been so allowed or allowable if the company had not chosen a tax offset under section 73I; or
 (ii) in the case of a company whose income was exempt from tax when the expenditure was incurred—a deduction under section 73BA or 73BH would have been allowable if the company's income had not been so exempt from tax; and
 (b) the eligible company receives or is entitled to receive:
 (i) an amount in respect of the results of any of the research and development activities in relation to which the expenditure was incurred; or
 (ii) an amount attributable to the company having incurred the expenditure, including an amount that it is entitled to receive irrespective of the results of the activities;
that amount is included in the company's assessable income of the year of income in which the company received or became entitled to receive it.

 (5) The reference in subsection (4) to a company receiving or being entitled to receive an amount in respect of the results of any research and development activities includes a reference to:
 (a) the company receiving or being entitled to receive an amount from the grant of access to, or the grant of a right to use, any of those results; and
 (b) the company receiving or being entitled to receive an amount from the disposal of, or of an interest in, any section 73BA