Document ID: chunk:federal_register_of_legislation:C2004C00958:clause:1_9:p4
Version: federal_register_of_legislation:C2004C00958
Segment Type: clause
Provision Reference: sch 1 cl 9 (pt 4/11)
Character Range: 668470–671057

production business carried on by the trustee of:

 (a) a corporate unit trust (as defined in section 102J of the Income Tax Assessment Act 1936, which deals with corporate unit trusts); or

 (b) a public trading trust (as defined in section 102R of the Income Tax Assessment Act 1936, which deals with public trading trusts).

392‑25  Choosing not to have your income tax averaged

 (1) You can choose that this Division (except this section) not apply to your assessment for an income year. If you make this choice, this Division (except this section) does not apply to your assessment for the income year or any later income year.

 (2) You must make your choice in writing and give it to the Commissioner by the time you lodge your *income tax return for the income year to which your choice relates. However, the Commissioner may allow you to give the choice later.

 (3) Your choice cannot be revoked after it is given to the Commissioner.

Subdivision 392‑B—What kind of averaging adjustment must you make?

Guide to Subdivision 392‑B

392‑30  What this Subdivision is about

      This Subdivision explains how to work out whether you are entitled to a tax offset for the current year or whether you must pay extra income tax for the current year.

Table of sections

Tax offset or extra income tax

392‑35 Will you get a tax offset or have to pay extra income tax?

How to work out the comparison rate

392‑40 Identify income years for averaging your basic taxable income
392‑45 Work out your average income for those years
392‑50 Work out the income tax on your average income at basic rates
392‑55 Work out the comparison rate

Tax offset or extra income tax

392‑35  Will you get a tax offset or have to pay extra income tax?

 (1) Compare:

 (a) the amount (the income tax you would pay at the comparison rate) worked out using the formula:

 (b) the amount of income tax that you would pay on your *basic taxable income for the *current year at *basic rates.

Note: You must disregard some provisions of this Act in working out amounts of income tax for the purposes of this subsection: see subsection (5).

Tax offset

 (2) You are entitled to a *tax offset equal to the *averaging adjustment worked out under Subdivision 392‑C if the income tax you would pay at the comparison rate is less than the amount of income tax you would pay at *basic rates.

Extra income tax

 (3) You must pay extra income tax on the *averaging component of your *basic taxable income if the income tax you would pay at the comparison rate is more than the amount of