Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p20
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 20/25)
Character Range: 7362092–7364845

capital loss equals the available loss exposure amount.

Partner to choose how to apply subsection (3)
 (4) The partner must choose:
 (a) which of paragraphs (3)(a) and (b) is to apply or whether both are to apply; and
 (b) the amount of the deduction or *capital loss, or the amounts of both; and
 (c) the particular outstanding foreign hybrid revenue loss amounts or outstanding foreign hybrid net capital loss amounts, or both, to which they relate.

830‑55  Meaning of foreign hybrid net capital loss amount
  If:
 (a) the sum of a partner's *capital losses from *CGT events happening during an income year in relation to a *foreign hybrid or *CGT assets of a foreign hybrid;
exceeds:
 (b) the sum of the partner's *capital gains from CGT events happening during the income year in relation to the foreign hybrid or CGT assets of the foreign hybrid;
the partner has a foreign hybrid net capital loss amount in respect of the foreign hybrid for the income year equal to the excess.

830‑60  Meaning of loss exposure amount
 (1) The loss exposure amount of a partner in a *foreign hybrid for an income year is worked out as follows:

      Method statement
           Step 1. Work out the sum of the amounts or *market values of the contributions made by the partner to the *foreign hybrid that, as at the end of the income year:

                (a) have not been repaid or returned to the partner; and
                (b) have been contributed for at least 180 days, or are intended by the partner to remain contributed for at least 180 days.

           Step 2. Subtract the sum of the amounts of:

                (a) all *limited recourse debts owed by the partner at the end of the income year, to the extent that the *borrowings concerned were for the purpose of enabling the partner to make contributions to the *foreign hybrid and the debts were secured by the partner's interest in the foreign hybrid; and
                (b) all the partner's *foreign hybrid revenue loss amounts in respect of the foreign hybrid for previous income years, after any reduction under subsection 830‑45(2); and
                (c) all the partner's *foreign hybrid net capital loss amounts in relation to the partnership for previous income years, after any reduction under subsection 830‑45(2); and
                (d) all deductions allowed to the partner under subsection 830‑50(2) or (3) in respect of the foreign hybrid for previous income years; and
                (e) all *capital losses that, as a result of subsection 830‑50(2) or (3), the partner made in respect of *CGT event K12 in respect of the foreign hybrid for previous income years.

Contribution in case of foreign hybrid company
 (2) For the purposes of step 1 in the method statement