Worksheet 4: Deemed rate of return method for FLPs

Complete the relevant parts of the worksheet for the interests you hold in the FLP. Read Deemed rate of return method in chapter 5 for more information.

Part 1

Description of the interests in the FLP. _________________________________

Opening value.

A

___________

Multiply A by the deemed rate of return.

B

___________

Multiply B by

the number of days you held the interest in
the FLP during the notional accounting period
365

C

___________

Part 2

Convert the FIF amount at C to Australian currency at the rate of exchange applying at the end of the notional accounting period.

D

A$_________

Part 3

If you have more than one interest in the FLP and completed more than one part 1 and part 2, add the amounts in each box D and show the total amount at E.

If you had only one interest in the FLP, copy the amount from D to E.

E

___________

Part 4

Did you receive any distributions from the FLP during the notional accounting period? See chapter 6 for information about reductions of FIF income.

If No, then the amount at E is not reduced. Copy the amount from E to F. Include this amount in your assessable income.

F

___________

If Yes, insert the amount, if any, of the distributions that are of the type to which subsection 530(1) applies - see chapter 6.

G

___________

Take G away from E.

H

___________

If the amount at H is positive, include it in your assessable income.

If the amount at H is negative, do not include any amount in your assessable income under the FIF measures.

For details on how to complete your tax return, refer to the attributed foreign income question in TaxPack or the instruction guides for company, trust, partnership and superannuation fund tax returns.