Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 87.25

  (1)   An individual meets the employment test in an income year if:

  (a)   the individual engages one or more entities (other than * associates of the individual that are not individuals) to perform work; and

  (b)   that entity performs, or those entities together perform, at least 20% (by * market value) of the individual's principal work for that year.

  (2)   A * personal services entity meets the employment test in an income year if:

  (a)   the entity engages one or more other entities to perform work, other than:

  (i)   individuals whose * personal services income is included in the entity's * ordinary income or * statutory income; or

  (ii)   * associates of the entity that are not individuals; and

  (b)   that other entity performs, or those other entities together perform, at least 20% (by * market value) of the entity's principal work for that year.

  (2A)   If the * personal services entity is a partnership, work that a partner performs is taken, for the purposes of subsection   (2), to be work that the personal services entity engages another entity to perform.

  (3)   An individual or a * personal services entity also meets the employment test in an income year if, for at least half the income year, the individual or entity has one or more apprentices.