Document ID: chunk:federal_register_of_legislation:C2021C00321:clause:1_2:p8
Version: federal_register_of_legislation:C2021C00321
Segment Type: clause
Provision Reference: sch 1 cl 2 (pt 8/11)
Character Range: 25534–28272

the *approved form.

418‑111  Working out whether an exploration investment has been made in an income year
 (1) An entity (the investor) makes an exploration investment in another entity (the minerals explorer) in an income year if:
 (a) *shares in the minerals explorer are issued to the investor by the minerals explorer:
 (i) on or after the day on which the Commissioner makes a determination under section 418‑101 allocating *exploration credits to the minerals explorer for the income year; and
 (ii) before the end of the income year; and
 (b) those shares are *equity interests.
 (2) The amount of the exploration investment made by the investor in the minerals explorer in the income year is equal to the total amount paid up by the investor on the shares during the period mentioned in paragraph (1)(a).

418‑115  Who may receive an exploration credit and what is the pool from which the credit may be issued
 (1) If *exploration credits are to be issued by an entity (the minerals explorer) for an income year (the credit year), work out each of the following by identifying whether scenario 1, 2 or 3 applies, and applying the rules for that scenario:
 (a) whether the minerals explorer can issue an exploration credit to another entity in relation to *exploration investment made by the other entity in the minerals explorer in the credit year;
 (b) whether the minerals explorer can issue an exploration credit to another entity in relation to exploration investment made by the other entity in the minerals explorer in the income year immediately preceding the credit year (the preceding year);
 (c) the pool of exploration credits from which an exploration credit may be issued to another entity in relation to exploration investment made by the other entity in the minerals explorer in the credit year (this is called the issue pool for exploration investment made in the minerals explorer in the credit year);
 (d) the pool of exploration credits from which an exploration credit may be issued to another entity in relation to exploration investment made by the other entity in the minerals explorer in the preceding year (this is called the issue pool for exploration investment made in the minerals explorer in the preceding year).

Scenario 1—no unused allocation of exploration credits from the preceding year
 (2) If there is no *unused allocation of exploration credits from the preceding year:
 (a) *exploration credits can be issued to another entity in relation to *exploration investment made by the other entity in the minerals explorer in the credit year; and
 (b) no exploration credits can be issued to another entity in relation to exploration investment made by the other entity in the minerals explorer