IC 2 Threshold levels for grouping tax losses in tax year
Company A: continuity of ownership

(1)

Company A may group a tax loss in a tax year under section IC 5 only if the requirements of section IA 5 (Restrictions on companies’ loss balances carried forward) are met.

Company A and company B: common ownership

(2)

In addition to meeting the requirements referred to in subsection (1), company A and company B must have the required common ownership under section IC 3 for the period referred to in section IC 6.

Part years: relationship with subpart IP

(3)

Subpart IP (Meeting requirements for part-years) applies in a tax year that is part of the commonality period if the following requirements are met for the relevant part-year:

(a)

continuity of ownership in company A for the purposes of subsection (1); and

(b)

common ownership of company A and company B for the purposes of subsection (2).

Defined in this Act: commonality period, company, tax loss, tax year

Compare: 2004 No 35 ss IG 1(1), (3), IG 2(1), (2)(c), (e)