Income Tax Assessment Act 1997

CHAPTER 4 - INTERNATIONAL ASPECTS OF INCOME TAX  

PART 4-5 - GENERAL  

Division 830 - Foreign hybrids  

Subdivision 830-D - Special rules applicable when an entity becomes or ceases to be a foreign hybrid  

Note:

In the case of a foreign hybrid company, references in this Subdivision that relate to partnerships are to be read subject to Subdivision 830-B . For example, a reference to a partner will be a reference to a shareholder in the company who is treated by Subdivision 830-B as a partner.

SECTION 830-85   Setting the tax cost of assets of an entity when it ceases to be a foreign hybrid  

830-85(1)    
This section applies if:

(a) an entity is a *foreign hybrid in relation to an income year; and

(b) the entity is in existence at the start of the next income year; and

(c) the entity is not a foreign hybrid in relation to that income year (the post-hybrid year ).

830-85(2)    
For the purposes of applying an *asset-based income tax regime for the post-hybrid year and each later income year in relation to which the entity continues not to be a foreign hybrid, the *tax cost is set at the start of the post-hybrid year, for each asset of the entity at that time.