INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 2A - Calculation of taxable income  

Subdivision B - Calculation of taxable income where disqualifying event occurs  

SECTION 50L   DEEMED DIVIDENDS  

50L(1)   [Deemed receipt of dividend]  

For the purposes of the application of this Subdivision in relation to a company (in this subsection referred to as the ``relevant company'') in relation to a year of income, where -

(a) during the year of income, a payment was made to the relevant company, or a liability was incurred to the relevant company, by a partnership in which another company was a partner; and

(b) by reason of the making of that payment, or the incurring of that liability, as the case may be, a dividend is deemed by section 65 to have been paid to the relevant company by that other company on the last day of a year of income of that other company,

that dividend shall be taken to have been received by the relevant company at the time when the payment referred to in paragraph (a) was made, or the liability referred to in that paragraph was incurred, as the case may be.

50L(2)   [Time dividends deemed to have been received]  

For the purposes of the application of this Subdivision in relation to a company (in this subsection referred to as the ``relevant company'') in relation to a year of income, where, by reason of the making or crediting of a payment or the transfer of property by another company during the year of income, that other company is deemed by section 108 to have paid dividends to the relevant company on the last day of a year of income of that other company, those dividends shall be deemed to have been received by the relevant company at the time when the payment, credit or transfer was made.

50L(3)   [Time sum credited deemed to have been received]  

For the purposes of the application of this Subdivision in relation to a company (in this subsection referred to as the ``relevant company'') in relation to a year of income, where, by reason that a sum was paid or credited, or property was transferred, to the relevant company by another company, a dividend is deemed by section 109 to have been paid to the relevant company on the last day of a year of income of that other company, that dividend shall be deemed to have been received by the relevant company at the time when the sum was paid or credited, or the property was transferred, as the case may be.