Commonwealth Consolidated Acts

A NEW TAX SYSTEM (GOODS AND SERVICES TAX) ACT 1999 - SECT 78.40

  (1)   Division   19 applies in relation to a * decreasing adjustment that an insurer has under this Division as if:

  (a)   the adjustment were an input tax credit; and

  (b)   the settlement of the claim to which the adjustment relates were a * creditable acquisition that the insurer made; and

  (c)   any payment or supply made by another entity, in settlement of a claim made by an insurer in the insurer's exercising of rights of subrogation in respect of the * insurance policy in question, were a reduction in the * consideration for the acquisition.

  (2)   Paragraph   (1)(c) does not apply to a payment by another entity in relation to which an * increasing adjustment arises under section   80 - 30 or 80 - 70 (which are about settlement sharing arrangements).