Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p1
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 1/11)
Character Range: 5474171–5477075

4                    is $10,000 or more                           *Taxable primary production income                                                Nil

Note: Subsections (2) and (3) explain how to work out your non‑primary production shade‑out amount if your taxable non‑primary production income is between $5,000 and $10,000.

Non‑primary production shade‑out amount if your taxable primary production income is more than nil
 (2) If your *taxable primary production income is more than nil, your non‑primary production shade‑out amount is the amount worked out using the formula:

Non‑primary production shade‑out amount if your taxable primary production income is nil
 (3) If your *taxable primary production income is nil, your non‑primary production shade‑out amount is the amount worked out using the formula:
However, if that amount is less than nil, your non‑primary production shade‑out amount is nil.
 (4) In this section:
Assessable PP income means your *assessable primary production income for the *current year.
PP deductions means your *primary production deductions for the *current year.
Taxable non‑PP income your *taxable non‑primary production income for the *current year.

Subdivision 392‑D—Effect of permanent reduction of your basic taxable income

Table of sections
392‑95 You are treated as if you had not carried on business before

392‑95  You are treated as if you had not carried on business before

Choosing to discontinue and restart averaging
 (1) You can choose that this Division not affect your *income tax liability for an income year (the reduction year) if you show the Commissioner that, because of retirement from your occupation or from any other cause, your *basic taxable income for the reduction year is permanently reduced during that year to less than two thirds of your *average income for that year.
 (1A) You must make the choice by notifying the Commissioner in writing by the day you lodge your *income tax return for the reduction year. However, the Commissioner can allow you to make it later.
 (1B) If you make a choice under subsection (1), this Division applies to assessments for later income years as if you had never carried on a *primary production business before the reduction year.

Working out the extent of the permanent reduction
 (2) In working out the extent of the permanent reduction, you must work out your *average income for the reduction year on the basis that your *basic assessable income for an income year taken into account in working out your average income did not include any assessable income from sources from which you do not usually receive assessable income.
 (3) In working out the extent of the permanent reduction, disregard a reduction in *basic taxable income to the extent that it results from a change of assets from which assessable income was *derived into assets from which you derive income that is not