Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p10
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 10/53)
Character Range: 2938986–2941572

total (the loss total) of:
 (a) the deductions attributed to the period under section 165‑55; and
 (b) the *company's share of each *notional loss (if any) of a partnership for the period;
exceeds the total (the income total) of:
 (c) the assessable income attributed to the period under section 165‑60; and
 (d) the *company's share of each *notional net income (if any) of a partnership for the period.
The notional loss is the amount of the excess.
Note: A notional loss is taken into account in working out the company's tax loss under section 165‑70.
 (3) On the other hand, if the income total exceeds the loss total, the company has a notional taxable income for the period, equal to the excess.
Note: A notional taxable income is taken into account in working out the company's taxable income under section 165‑65.
 (4) If the company has a *notional taxable income for all periods in the income year, this Subdivision has no further application, and the company's taxable income for the income year is calculated in the usual way.
Note: The usual way of working out taxable income is set out in section 4‑15.

165‑80  How to calculate the company's share of a partnership's notional loss or notional net income for a period if both entities have the same income year
 (1) This section applies if at any time during a period the company is a partner in a partnership that has an income year that starts and ends when the company's income year starts and ends.
 (2) The partnership's notional loss or notional net income for the period is calculated in the same way as the *notional loss or *notional taxable income of a company.
 (3) The company's share is calculated by dividing:
• the company's interest in the partnership's net income or partnership loss of the income year;
by
• the amount of that net income or partnership loss;
and expressing the result as a percentage.
 (4) However, if the partnership had neither a net income nor a partnership loss, the company's share is a percentage that is fair and reasonable having regard to the extent of the company's interest in the partnership.

165‑85  How to calculate the company's share of a partnership's notional loss or notional net income for a period if the entities have different income years
 (1) This section applies if at any time during a period the company is a partner in a partnership that has an income year that starts and ends at a different time from when the company's income year starts and ends.
 (2) So much of the partnership's net income or partnership loss of an income year as was *derived during