Document ID: chunk:federal_register_of_legislation:C2019C00215:clause:7_1:p9
Version: federal_register_of_legislation:C2019C00215
Segment Type: clause
Provision Reference: sch 7 cl 1 (pt 9/10)
Character Range: 102056–104686

section) be, disregarded in relation to the IMR entity because of paragraph 842‑215(2)(c), and not because of paragraph 842‑215(1)(c).
disregarded capital losses is the amount obtained by adding together:
 (a) the sum of the amounts of the *capital losses that:
 (i) are from *CGT events that happen in the income year; and
 (ii) are disregarded in relation to the *IMR entity because of paragraph 842‑215(1)(c); and
 (b) the sum of the amounts of the capital losses that:
 (i) are from CGT events that happen in the income year; and
 (ii) are disregarded in relation to the IMR entity because of paragraph 842‑215(2)(c), and not because of paragraph 842‑215(1)(c).
 (4) Apply the sum referred to in paragraph (1)(c) to reduce (including reduce to zero) the following amounts:
 (a) the 842‑215(1)(a) amount;
 (b) the 842‑215(2)(a) amount;
 (c) the 842‑215(1)(c) amount;
 (d) the 842‑215(2)(c) amount.
Do not apply the sum to reduce an amount referred to in a paragraph (other than paragraph (a)) unless the sum has been applied to reduce to zero the amount referred to in each paragraph preceding that paragraph.
 (5) If the 842‑215(1)(c) amount or the 842‑215(2)(c) amount relates to more than one *capital gain, a reduction of the amount under subsection (4) is taken to reduce each of the capital gains by the following amount:
 (6) Without limiting the circumstances in which the requirements of paragraph (1)(c) are not met, those requirements are taken not to be met in relation to the *IMR entity for an income year if they are not met in relation to the IMR entity for a period (a qualifying period) of up to 5 consecutive income years including the income year (but not including any future income years).
 (7) In ascertaining for the purposes of subsection (6) whether the requirements of paragraph (1)(c) are not met in relation to the *IMR entity for a qualifying period, assume that the qualifying period is the income year referred to in subsection (1).
 (8) For the purposes of paragraphs (1)(b) and (c) (including paragraph (1)(c) as affected by subsections (6) and (7)), disregard any direct or indirect entitlements (including contingent entitlements) of the *independent Australian fund manager, or any entity *connected with the independent Australian fund manager, to remuneration from the *IMR entity:
 (a) to the extent that the remuneration is subject to income tax in relation to the income year referred to in subsection (1); and
 (b) to the extent that the remuneration is subject to taxation in relation to that income year under a *foreign law.

Part 2—Other amendments

Income Tax Assessment Act 1936