Withdrawal - Income tax: Can the amount of a company's preliminary unrealised net loss in step 4 of section 165-115E of Subdivision 165-CC of the Income Tax Assessment Act 1997 be determined using a market valuation of the company's CGT assets en globo ?

Draft Taxation Determination TD 2000/D23 is withdrawn with effect from today.

The issue dealt with in the draft Taxation Determination has been clarified by legislative amendments made to Subdivision 165-CC by the New Business Tax System (Consolidation, Value Shifting, Demergers and Other Measures) Act 2002. See, for example, section 165-115E and, in particular, subsection (2) of that section. The amendments apply, on a no detriment basis, from the commencement of Subdivision 165-CC of the Income Tax Assessment Act 1997.