Commonwealth Numbered Acts

INCOME TAX ASSESSMENT ACT 1997 No. 38 of 1997 - SECT 170.35

(1) The *loss company:

   (a)  must be an Australian resident; and

   (b)  must not be a *dual resident investment company in either the

*loss year or the *deduction year.

(2) If the *loss year and the *deduction year are the same, it must be the
case that the *loss company was not required to calculate the

*tax loss:

   (a)  under section 165-70 (because of a change in ownership or control); or

   (b)  under section 175- 35 (because of injected income or deductions).

(3) Also, it must be the case that neither Subdivision 165-A nor Subdivision
175-A would have prevented the *loss company from deducting the *tax loss in
the *deduction year if it had had enough assessable income (including
*assessable film income) to offset the tax loss. Note: Subdivision 165-A deals
with the deductibility of a company's tax loss for an earlier income year if
there has been a change in the ownership or control of the company in the loss
year or the income year. Subdivision 175-A is about the Commissioner
preventing a company from getting certain tax benefits through its unused tax
losses.