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Income Tax Assessment Act 1997
36‑45 Limit on deductions for amounts pa36‑45 Limit on deductions for amounts paid
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#### 36‑45 Limit on deductions for amounts paid
Tax losses generally
(1) The total of your deductions under subsection 36‑40(1) for amounts paid in the income year for debts incurred in the \*loss year cannot exceed the amount of the \*tax loss reduced by the sum of:
(a) your deductions under that subsection for amounts paid in earlier income years for debts incurred in the loss year; and
(b) any amounts of the tax loss \*utilised in earlier income years; and
(c) any amounts of the tax loss that, apart from section 36‑35, would have been deductible from your \*net exempt income for the income year or earlier income years.
Film losses
(2) The total of your deductions under subsection 36‑40(2) for amounts paid in the income year for debts incurred in the \*loss year cannot exceed the amount of the \*film loss reduced by the sum of:
(a) your deductions under that subsection for amounts paid in earlier income years for debts incurred in the loss year; and
(b) any amounts of the film loss deducted in earlier income years; and
(c) any amounts of the film loss that, apart from section 36‑35, would have been deductible from your \*net exempt film income for the income year or earlier income years.