Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) You may choose to transfer, to a * corporate tax entity, either or both of the following:
(a) all or part of your entitlement to deductions under Division 40 in relation to the declines in value of the single asset mentioned in subsection 417 - 35(4) (including future declines in value but not including declines in value that have already been deducted under that Division);
(b) all or part of so much of your entitlement to deductions under section 40 - 830 or 40 - 832 as arises because of the operation of section 417 - 45.
(2) The choice:
(a) must be in the * approved form; and
(b) must be made no later than the day you lodge your * income tax return for the first income year for which all or part of your entitlement is to be transferred.
(3) The choice cannot be revoked.
(4) Only one choice can be made under this section in relation to the same part of the entitlement.
(5) If you choose under this section to transfer to another entity all or part of your entitlement:
(a) the other entity can make deductions arising from that entitlement or part; and
(b) at the time of the choice, a * franking credit arises in the * franking account of the other entity; and
(c) you can no longer make deductions arising from that entitlement or part.
(6) The amount of the * franking credit under paragraph (5)(b) is an amount equal to the amount of the deduction transferred multiplied by the standard corporate tax rate (within the meaning of Part IVA of the Income Tax Assessment Act 1936 ).
Table of sections
417 - 65 CGT events not created by Timor Sea Maritime Boundaries Treaty entering into force
417 - 70 Tax treatment of consideration for transferred entitlement to deductions or tax loss
417 - 75 Membership interests affected by transfer of entitlement to deductions or tax loss