INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 3 - Deductions  

Subdivision A - General  

SECTION 63CB   INFORMATION ABOUT FAMILY TRUSTS WITH INTERESTS IN COMPANY  

63CB(1)   Notice about family trust.  

The Commissioner may give a company a notice in accordance with section 63CC if the requirements of subsections (2) to (4) of this section are met.

63CB(2)   First requirement.  

In its return of income for a year of income, the company must have deducted an amount in respect of a debt incurred in the year of income or an earlier year of income, where it was allowed to do so but would not have been unless one or more trusts had been family trusts (see subsection (5)).

63B(3)   Second requirement.  

When the Commissioner gives the notice, for at least one of the family trusts:

(a) a trustee of the trust must be a non-resident; or

(b) the central management and control of the trust must be outside Australia.

63CB(4)   Third requirement.  

The Commissioner must give the notice before the later of:

(a) 5 years after the year of income to which the return relates; and

(b) the end of the period during which the company is required by section 262A to retain records in relation to that year of income.

63CB(5)   Family trust.  

The expression family trust has the same meaning as in section 272-75 of Schedule 2F .