The Assistant Treasurer, Senator the Hon Nick Sherry, has released exposure draft legislation to improve the income tax company losses regime and associated explanatory material.

The exposure draft legislation implements announced changes to the company loss recoupment rules to improve the operation of the continuity of ownership test where a company has an unfixed share structure, modify the definition of voting power and clarify the operation of the same business test for consolidated groups (Treasurer's Media Release No 53 of 13 May 2008 ).