18Expenditure under commercial deals with Australian news media businesses

18 Expenditure under commercial deals with Australian news media businesses

General—monetary consideration provided to registered news businesses for covered news content

(1) For the purposes of paragraph 17(2)(a), an amount is an amount of expenditure incurred by a member of the parent entity’s service group during the financial year if:

(a) the amount is recognised in accordance with the accounting standards as expenditure incurred by the member during the service group’s 12‑month financial reporting period that ends during the financial year; and

(b) the amount is monetary consideration provided directly to a member of a registered news business corporate group (the news group):

(i) for the production, or to support the production, of covered news content by a registered news business of the news group; or

(ii) in connection with covered news content produced by a registered news business of the news group being made publicly available online by a member of the service group; and

(c) the amount is provided under an agreement with one or more other entities:

(i) each of which is, just before the amount is provided, a member of the news group; and

(ii) none of which is connected with a member of the service group; and

(iii) none of which is an affiliate of a member of the service group; and

(iv) none of which is an entity of which a member of the service group is an affiliate.

Note: Subparagraph (b)(ii) could cover, for example, a payment of a share of advertising revenue relating to the news content being made publicly available online.

Transitional—consideration provided for the benefit of news businesses

(2) For the purposes of paragraph 17(2)(a), if:

(a) a member of the parent entity’s service group provides consideration (whether or not monetary consideration), directly or indirectly, to a member of a news business corporate group (the news group) for the benefit of a news business of the news group; and

(b) the actual cost of the consideration is recognised in accordance with the accounting standards as an amount of expenditure incurred by the member of the service group during the service group’s 12‑month financial reporting period that ends during the financial year; and

(c) the 12‑month financial reporting period also ends before, or includes, the day this Act receives the Royal Assent; and

(d) the consideration is provided under an agreement with one or more other entities:

(i) each of which is, just before the consideration is provided, a member of the news group; and

(ii) none of which is connected with a member of the service group; and