(c) for the year of assessment 2018, the lower of the following: (i) such costs incurred during the basis period for that year of assessment; (ii) the balance after deducting from $1,200,000 the lower of the amounts specified in paragraph (a)(i) and (ii), and the lower of the amounts specified in paragraph (b)(i) and (ii).”; (d) by inserting, immediately after subsection (1D), the following subsection: In subsection (1BA) “(1DA) — (a) if the person does not carry on any trade or business during the basis period for any one year of assessment between the years of assessment 2016 and 2018 (both years inclusive), the references to in the paragraphs of “$1,200,000” that subsection applicable to the other 2 years of assessment shall be substituted with “$800,000”; (b) if the person does not carry on any trade or business during the basis periods for any 2 years of assessment between the years of assessment 2016 and 2018 (both years inclusive), the reference to in the paragraph of “$1,200,000” that subsection applicable to the remaining year of assessment shall be substituted with and “$400,000”; (c) for the avoidance of doubt, no deduction shall be made from the substituted amount in subsection (1BA)(b)(ii) or (c)(ii) of the lower of the amounts specified in subsection (1BA)(a)(i) and (ii) if the person does not carry on any trade or business during the basis period for the year of assessment 2016, and no deduction shall be made from the substituted amount in subsection
(c) for the year of assessment 2018, the lower of the following: (i) such costs incurred during the basis period for that year of assessment; (ii) the balance after deducting from $1,200,000 the lower of the amounts specified in paragraph (a)(i) and (ii), and the lower of the amounts specified in paragraph (b)(i) and (ii).”; (d) by inserting, immediately after subsection (1D), the following subsection: “(1DA) In subsection (1BA) — (a) if the person does not carry on any trade or business during the basis period for any one year of assessment between the years of assessment 2016 and 2018 (both years inclusive), the references to “$1,200,000” in the paragraphs of that subsection applicable to the other 2 years of assessment shall be substituted with “$800,000”; (b) if the person does not carry on any trade or business during the basis periods for any 2 years of assessment between the years of assessment 2016 and 2018 (both years inclusive), the reference to “$1,200,000” in the paragraph of that subsection applicable to the remaining year of assessment shall be substituted with “$400,000”; and (c) for the avoidance of doubt, no deduction shall be made from the substituted amount in subsection (1BA)(b)(ii) or (c)(ii) of the lower of the amounts specified in subsection (1BA)(a)(i) and (ii) if the person does not carry on any trade or business during the basis period for the year of assessment 2016, and no deduction shall be made from the substituted amount in subsection
2014_ITA_Clause2to72.docx