Taxation Laws Amendment Act (No. 3) 2003 (101 of 2003)

Schedule 3   Franking of distributions by co-operatives

Income Tax Assessment Act 1997

4   After Division 216

Insert:

Division 218 - Application of imputation rules to co operative companies

218-5 Application of imputation rules to co operative companies

(1) The *imputation system applies to a *co operative company in the same way as it applies to any other company but with the modifications set out in this section.

(2) Each reference to a *distribution is taken to include a reference to an amount distributed as mentioned in paragraph 120(1)(a) or (b) of the Income Tax Assessment Act 1936.

(3) Despite subsection 202-75(1) (about giving distribution statements), a *co operative company does not have to give the recipient of a *frankable distribution a *distribution statement unless the *franking percentage for the distribution is greater than zero.