Social Security Act 1991

For the purposes of this Division, if a company or trust carries on a business or holds an investment, the company’s or trust’s ordinary income from the business or investment is to be reduced by:

losses and outgoings that relate to the business or investment and are allowable deductions for the purposes of section 8‑1 of the Income Tax Assessment Act 1997; and

amounts that relate to the business or investment and can be deducted in respect of plant (within the meaning of the Income Tax Assessment Act 1997) under Division 40 of that Act; and

amounts that relate to the business or investment and are allowable deductions under any other provision of the Income Tax Assessment Act 1936 or the Income Tax Assessment Act 1997.

However, the rule in subsection (1) does not apply to:

an ineligible deduction (see subsection (3)); or

an ineligible amount (see subsection (4)); or

an ineligible part of a deduction (see subsection (5)).

The Secretary may, by legislative instrument, determine that a specified deduction is an ineligible deduction for the purposes of this section.

The Secretary may, by legislative instrument, determine that a specified amount is an ineligible amount for the purposes of this section.

The Secretary may, by legislative instrument, determine that a specified part of a specified deduction is an ineligible part of the deduction for the purposes of this section.

A determination under subsection (3), (4) or (5) has effect accordingly.