8

an amount that you deduct (other than under section 25-35 or Division 40)

(a) if the amount is paid at or before the time when it became deductible--the amount is to be translated into Australian currency at the exchange rate applicable at the time of payment; or

(b) in any other case--the amount is to be translated into Australian currency at the exchange rate applicable at the time when it became deductible.

8A

an amount of a debt that you deduct under section 25-35

(a) if the debt was included in your assessable income--the amount is to be translated into Australian currency at the exchange rate applicable at the time of translating the income; or

(b) if the debt was in respect of money that you lent--the amount is to be translated into Australian currency at the exchange rate applicable at the time of translating the money that was lent; or

(c) if you bought the debt--the amount is to be translated into Australian currency at the exchange rate applicable at the time of translating the debt that you bought.

8B

the value of an amount to which a contract (a spot foreign exchange contract ) for the exchange of amounts in different currencies relates if:

(a) the spot foreign exchange contract includes a requirement that consideration be provided within 2 business days after the contract is entered into; and

(b) that requirement is satisfied

the value of the amount to which the contract relates is to be translated into Australian currency at the exchange rate applicable at the tax recognition time (within the meaning of Division 775) referred to in the forex realisation event that happens on payment or receipt of that amount, unless the entity's usual business practice is not to translate the amount at the exchange rate applicable at the tax recognition time for the purpose of recording the transaction in the entity's accounting records.

Note:       An entity's usual business practice may be to translate amounts into Australian currency at a different exchange rate because the entity recognises gains and losses under spot foreign exchange contracts in the entity's accounting records.

8C

the value of an amount to which a contract (a spot contract ) for the exchange of an amount in a foreign currency and a security relates if:

(a) the spot contract includes a requirement that consideration be provided within 2 business days after the contract is entered into; and

(b) that requirement is satisfied

the value of the amount to which the contract relates is to be translated into Australian currency at the exchange rate applicable at the tax recognition time (within the meaning of Division 775) referred to in the forex realisation event that happens on payment or receipt of that amount, unless the entity's usual business practice is not to translate the amount at the exchange rate applicable at the tax recognition time for the purpose of recording the transaction in the entity's accounting records.

Note:       An entity's usual business practice may be to translate amounts into Australian currency at a different exchange rate because the entity recognises gains and losses under spot contracts in the entity's accounting records.

11A

an amount (other than an amount of a receipt or a payment) to which none of the above items applies

the amount is to be translated into Australian currency at an exchange rate that is reasonable having regard to the circumstances.

12

an amount to which any of items 1 to 11A (inclusive) applies

as an alternative to the result mentioned in the item, the amount may be translated into Australian currency using any of the rules set out in Schedule 2 to the Income Tax Assessment (1997 Act) Regulations 2021 .