CHAPTER 4
-
INTERNATIONAL ASPECTS OF INCOME TAX
History
Chapter 4 inserted by No 162 of 2001.
PART 4-5
-
GENERAL
History
Part 4-5 inserted by No 162 of 2001.
Division 802
-
Foreign residents
'
income with an underlying foreign source
History
Div 802 inserted by No 147 of 2005, s 3 and Sch 2 item 1, applicable to income years starting on or after 1 July 2005. For additional application provisions see note under Subdiv
802-A
heading.
Subdivision 802-A
-
Conduit foreign income
History
Subdiv 802-A inserted by No 147 of 2005, s 3 and Sch 2 item 1, applicable to income years starting on or after 1 July 2005. No 147 of 2005, s 3 and Sch 2 items 27 and 28, contains the following additional application provisions:
27 Income years starting on 1 July 2005 or after that day and before Royal Assent
(1)
This item applies to an entity for whom an income year (the
first year
) starts:
(a)
on 1 July 2005; or
(b)
after that day and before the day on which this Act receives the Royal Assent
[
ie 14 December 2005].
(2)
The entity can only declare an amount to be conduit foreign income under Subdivision 802-A of the
Income Tax Assessment Act 1997
on or after the day on which this Act receives the Royal Assent.
(3)
An FDA surplus that exists for the entity under Subdivision
B
of Division
11A
of Part
III
of the
Income Tax Assessment Act 1936
at the end of the day before the day on which this Act receives the Royal Assent has effect as if it were the entity's conduit foreign income under Subdivision 802-A of the
Income Tax Assessment Act 1997
.
(4)
Any FDA credit under section
128TA
of the
Income Tax Assessment Act 1936
that arises during the period starting on 1 July 2005 and ending on the day before the day on which this Act receives the Royal Assent cannot also be conduit foreign income.
(5)
Section
802-40
of the
Income Tax Asssessment Act 1997
, as inserted by item 1, does not apply to the first year.
28 Later starting income years
(1)
This item applies to an entity for whom an income year (also the
first year
) starts on or after the day on which this Act receives the Royal Assent and before 1 July 2006.
(2)
The amendments made by items 7, 8, 9, 13 and 16, and 19 to 24 apply from the start of the first year.
(3)
An FDA surplus that exists for the entity under Subdivision
B
of Division
11A
of Part
III
of the
Income Tax Assessment Act 1936
at the start of the first year has effect as if it were the entity's conduit foreign income under Subdivision
802-A
of the
Income Tax Assessment Act 1997
.
...
Operative provisions
SECTION 802-45
802-45
Previous declarations of conduit foreign income
The entity
'
s
conduit foreign income
is reduced if:
(a)
the entity makes a *frankable distribution that has an *unfranked part; and
(b)
the entity declares an amount of the unfranked part to be conduit foreign income.
The amount of the reduction is the amount so declared.
Note:
If the amount declared is less than the amount available for declaration, the difference is available for a later declaration.
History
S 802-45 inserted by No 147 of 2005, s 3 and Sch 2 item 1, applicable to income years starting on or after 1 July 2005. For additional application provisions see note under Subdiv
802-A
heading.
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