New Business Tax System (Consolidation and Other Measures) Act 2003 (16 of 2003)

Schedule 8   Consolidation: various provisions about CFCs, FIFs and FLPs

Income Tax Assessment Act 1997

3   Subsection 717-230(4)

Repeal the subsection, substitute:

(4) That Part operates in relation to the *head company of the *consolidated group, in relation to the *FIF in respect of the notional accounting period of that FIF that included the joining time, as if any interest in the FIF of which the head company became the holder because subsection 701-1(1) (the single entity rule) applies at the joining time had been acquired by the head company at that time.

(5) Paragraph 538(2)(d) of that Act operates in relation to the *head company of the *consolidated group, in relation to the *FIF in respect of the notional accounting period of that FIF that included the joining time, as if the amount or value of the consideration paid or given by the head company in respect of any acquisition mentioned in subsection (4) of this section was equal to the amount worked out under paragraph 538(2)(a) of that Act in relation to the joining company in relation to the FIF in respect of the notional accounting period mentioned in subsection (2) of this section.