Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_4:p14
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 14/21)
Character Range: 192827–195595

Subdivision 32-D—In-house dining facilities (employer expenses table item 1.2)

Table of sections

32-70 $30 is assessable for each meal provided to non-employee in an in‑house dining facility

32-70  $30 is assessable for each meal provided to non-employee in an in‑house dining facility

 (1) Your assessable income includes $30 for a meal you provide in an *in-house dining facility in the income year to an individual other than your employee, but only if:
 (a) you incur a loss or outgoing in respect of providing the meal; and
 (b) because of item 1.2 of the table in section 32-30,
section 32‑5 does not stop you deducting the loss or outgoing under section 8-1 (which deals with general deductions); and
 (c) the loss or outgoing is one that you can deduct under
section 8-1 for the income year or some other income year.

 (2) However, you can choose not to include in your assessable income $30 for each meal you provide in the *in-house dining facility in the income year to an individual other than your employee.

Note: If you do choose, you cannot rely on item 1.2 of the table in
section 32-30 as a basis for deducting a loss or outgoing you incur in respect of providing a meal.

 (3) You must choose by the day you lodge your *income tax return for the income year, or within a further time allowed by the Commissioner.

Subdivision 32-E—Anti-avoidance

Table of sections

32-75 Commissioner may treat you as having incurred entertainment expense

32-75  Commissioner may treat you as having incurred entertainment expense

  If:
 (a) you incur a loss or outgoing under an *arrangement; and
 (b) someone provides *entertainment under the arrangement to you or someone else; and
 (c) section 32-5 would have stopped you deducting the loss or outgoing under section 8-1 (which deals with general deductions) if you had incurred it in respect of providing that entertainment;
this Division applies to you as if you had incurred the loss or outgoing in providing that entertainment, to the extent (if any) that the Commissioner thinks reasonable.

Note: This means that section 32-5 will prevent you from deducting the loss or outgoing under section 8-1 unless an exception applies.

Example: A company pays $1,000 to sponsor a football game. Under the same arrangement, the company is given a viewing box at the game. To the extent the Commissioner thinks reasonable, he or she can treat the company as having incurred the $1,000 in providing entertainment.

Subdivision 32-F—Special rules for companies and partnerships

Table of sections

32-80 Company directors
32-85 Directors, employees and property of wholly-owned group company
32-90 Partnerships

32-80  Company directors

  In the case of a company, these provisions cover directors of the