INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART IIIAA - FRANKING OF DIVIDENDS  

Division 7 - Dividends paid to trusts and partnerships  

Subdivision C - Adjustments in relation to section 160AQT amounts  

SECTION 160ARAA   ADJUSTMENT WHERE FRANKING REBATE ARISES  

160ARAA(1)   [Allowable deduction]  

If:

(a) a trust amount is included in a taxpayer's assessable income of a year of income; and

(b) a determination under paragraph 177EA(5)(b) is made in respect of a distribution represented by the trust amount; and

(c) except for the determination the taxpayer would be entitled to a franking rebate under section 160AQX , 160AQY , 160AQYA , 160AQZ or 160AQZA ; and

(d) no deduction has been allowed, or is allowable, from the taxpayer's assessable income of any year of income under section 160AR in respect of the trust amount;

an amount equal to so much of the class A potential rebate amount, the class B potential rebate amount or the class C potential rebate amount that, except for the determination, would arise in relation to the trust amount as does not exceed the trust amount is allowable as a deduction from the taxpayer's assessable income of the year of income.

160ARAA(2)   [Partnership amounts]  

If:

(a) a partnership amount is included in, or is allowable as a deduction from, a taxpayer's assessable income of a year of income; and

(b) a determination under paragraph 177EA(5)(b) is made in respect of a distribution represented by the partnership amount; and

(c) except for the determination, the taxpayer would be entitled to a franking rebate under section 160AQX , 160AQY , 160AQYA , 160AQZ or 160AQZA ; and

(d) no deduction has been allowed, or is allowable, from the taxpayer's assessable income of any year of income under section 160AR in respect of the partnership amount;

the class A potential rebate amount, the class B potential rebate amount or the class C potential rebate amount that, except for the determination, would arise in relation to the partnership amount is allowable as a deduction from the taxpayer's assessable income of the year of income.