Document ID: chunk:federal_register_of_legislation:C2023C00080:clause:2_28:p10
Version: federal_register_of_legislation:C2023C00080
Segment Type: clause
Provision Reference: sch 2 cl 28 (pt 10/16)
Character Range: 219223–221867

unit.

420‑43  Deduction for charge imposed on the surrender of an eligible international emissions unit
 (1) You can deduct an amount of charge imposed by the Clean Energy (International Unit Surrender Charge) Act 2011 on the surrender by you of an eligible international emissions unit (within the meaning of the Australian National Registry of Emissions Units Act 2011).

Timing
 (2) You deduct the amount in the income year in which you pay the amount.

Subdivision 420‑D—Accounting for registered emissions units you hold at the start or end of the income year

Table of sections
420‑45 You include the value of your registered emissions units in working out your assessable income and deductions
420‑50 Value of registered emissions units at start of income year
420‑51 Valuation methods
420‑52 FIFO cost method of working out the value of units
420‑53 Actual cost method of working out the value of units
420‑54 Market value method of working out the value of units
420‑55 Valuation method for first income year at the end of which you held registered emissions units
420‑57 Valuation method for later income years at the end of which you held registered emissions units
420‑58 Value of registered emissions units at end of income year—certain free carbon units
420‑60 Cost of registered emissions units

420‑45  You include the value of your registered emissions units in working out your assessable income and deductions
 (1) You compare:
 (a) the *value of all *registered emissions units you *held at the start of the income year; and
 (b) the value of all registered emissions units you held at the end of the income year.

Increase in value is included in assessable income
 (2) Your assessable income includes any excess of the *value at the end of the income year over the value at the start of the income year.

Decrease in value is a deduction
 (3) On the other hand, you can deduct any excess of the *value at the start of the income year over the value at the end of the income year.

Source
 (4) An amount included in your assessable income under subsection (2) is taken, for the purposes of the *income tax laws, to have a source in Australia.

Disregard value of unit if sale proceeds would not be assessable
 (5) For the purposes of this Subdivision, disregard the *value of a *registered emissions unit you *held at the end of the income year if, assuming that you had sold the unit to someone else immediately after you started to hold the unit, the proceeds of the sale would not have been included in your assessable income under section 420‑25.
Note: Under the International Tax Agreements Act 1953, for some foreign