Income Tax Laws Amendment Act 1979 (Cth)

Income Tax Laws Amendment Act 1979

No. 149 of 1979

An Act to amend the law relating to income tax.

BE IT ENACTED by the Queen, and the Senate and House of Representatives of the Commonwealth of Australia, as follows:

PART I—PRELIMINARY

Short title, &c. 1. This Act may be cited as the Income Tax Laws Amendment Act 1979.

Commencement 2. (1) Subject to sub-section (2), this Act shall come into operation on the day on which it receives the Royal Assent. (2) Section 24 shall be deemed to have come into operation on 21 July 1979.

PART II—INCOME TAX ASSESSMENT ACT 1936

Interpretation 3. The Income Tax Assessment Act 1936 is in this part referred to as the Principal Act.

Amounts received on retirement or termination of employment in lieu of long service leave 4. Section 26ad of the Principal Act is amended by inserting after sub-section (3) the following sub-section: "(3a) Where, in an application of the formula in sub-section (3) (including an application of that formula for the purposes of sub-section (4)), the component of the formula represented by comprises a number that is a whole number and a fraction, the fraction shall be disregarded.".

Divisible deductions 5. (1) Section 50g of the Principal Act is amended— (a) by omitting from paragraph (a) of sub-section (1) "section 54, 57aa, 57ab" and substituting "section 54 (including any deduction calculated in accordance with section 57aa, 57ab or 57ae)"; (b) by inserting in paragraph (a) of sub-section (2) "(not being a deduction calculated in accordance with section 57aa, 57ab or 57ae)" after "under section 54"; (c) by omitting from paragraph (b) of sub-section (2) "under section 57aa, 57ab or 62a" and substituting "in accordance with section 57aa or 57ab or under section 62a"; and (d) by inserting after paragraph (b) of sub-section (2) the following paragraphs: "(ba) where— (i) a divisible deduction is allowable to the company in relation to the year of income in accordance with section 57ae in respect of property that, during the whole or a part of the relevant period, was owned by the company and used by the company for the purpose of producing assessable income or installed ready for use for that purpose and held in reserve; and