Income Tax Assessment Act 1936

PART III - LIABILITY TO TAXATION  

Division 1 - General  

SECTION 23AI   AMOUNTS PAID OUT OF ATTRIBUTED INCOME NOT ASSESSABLE  

23AI(1)   [Attribution account payments]  

Where:

(a) either:

(i) an attribution account payment of a kind referred to in paragraph 365(1)(a) , (b), (c) or (e) is made to a taxpayer (other than a partnership or taxpayer in the capacity of trustee of a trust); or

(ii) an attribution account payment of a kind referred to in paragraph 365(1)(d) is made to a taxpayer; and

(b) on the making of the payment, an attribution debit arises, for the entity making the payment, in relation to the taxpayer;

the following provisions have effect:

(c) if the payment is of a kind referred to in paragraph 365(1)(a) - the payment is not assessable income, and is not exempt income, to the extent of the debit;

(d) if the payment is of a kind referred to in paragraph 365(1)(b) and, apart from this section, an amount would be included in the taxpayer's assessable income under section 92 in respect of an individual interest in the net income of the partnership of the year of income referred to in that paragraph - that amount is not assessable income, and is not exempt income, to the extent of the debit;

(e) if the payment is of a kind referred to in paragraph 365(1)(c) and, apart from this section, an amount would be included in the taxpayer's assessable income under section 97 , 98A or 100 in respect of a share of the net income of the trust of the year of income referred to in that paragraph - that amount is not assessable income and is not exempt income, to the extent of the debit;

(ea) if the payment is of a kind referred to in paragraph 365(1)(c) and, apart from this section, an amount would be assessable to the trustee of the trust referred to in that paragraph under section 98 in respect of a share of the net income of the trust of the year of income referred to in that paragraph - that amount is not so assessable to the extent of the debit;

(f) if the payment is of a kind referred to in paragraph 365(1)(d) - the payment is not, to the extent of the debit, assessable to the taxpayer as mentioned in that paragraph;

(g) if the payment is of a kind referred to in paragraph 365(1)(e) and, apart from this section, an amount would be included in the taxpayer's assessable income, of the year of income referred to in that paragraph, under section 99B in respect of the trust property referred to in that paragraph - that amount is not assessable income, and is not exempt income to the extent of the debit.

23AI(2)   [ Other provisions]  

This section is to be disregarded for the purposes of applying any other provision of this Act to determine allowable deductions.

23AI(3)   [Definitions]  

In this section:

attribution account payment
has the same meaning as in Part X .

attribution debit
has the same meaning as in Part X .

company
has the same meaning as in Part X .

trust
has the same meaning as in Part X , but does not include a trust covered by subsection 371(7) .