Income Tax Assessment Act 1936

PART III - LIABILITY TO TAXATION  

Division 7A - Distributions to entities connected with a private company  

Subdivision DB - Other exceptions  

SECTION 109RD   COMMISSIONER MAY EXTEND PERIOD FOR REPAYMENTS OF AMALGAMATED LOAN  

109RD(1)   [ Conditions]  

The Commissioner may make a decision under subsection (2) if:

(a) section 109E operates with the result that a private company is taken to pay a particular dividend to a particular entity (the recipient ); and

(b) the shortfall mentioned in paragraph 109E(1)(c) arises because the recipient is unable to pay the private company the minimum yearly repayment mentioned in that paragraph because of circumstances beyond the recipient's control.

109RD(2)   [ Commisioner's power]  

The Commissioner may decide in writing that the result mentioned in paragraph (1)(a) should be disregarded (see subsection (4)) if the recipient pays the private company the amount of the shortfall within a specified time.

109RD(3)   [ Relevant matters]  

In making a decision under subsection (2) (or refusing to make such a decision), the Commissioner must have regard to the following:

(a) the nature of the circumstances mentioned in paragraph (1)(b);

(b) any other matters that the Commissioner considers relevant.

109RD(4)   [ Effect of decision]  

This Division is taken not to operate with the result mentioned in paragraph (1)(a) if:

(a) the Commissioner makes a decision under subsection (2); and

(b) the recipient pays the private company the amount of the shortfall within the specified time.

109RD(5)   [ Restriction]  

Despite subsection 33(3A) of the Acts Interpretation Act 1901 , each decision made under subsection (2) must relate only to one amount that would be taken to be a dividend paid by the private company (disregarding this section).