Income Tax Assessment Act 1936

SCHEDULE 2F - TRUST LOSSES AND OTHER DEDUCTIONS  

Division 266 - Income tax consequences for fixed trusts of abnormal trading or change in ownership  

Subdivision 266-B - Effect of change in ownership of fixed trust  

SECTION 266-55   INFORMATION ABOUT NON-FIXED TRUSTS WITH INTERESTS IN FIXED TRUST  

Notice about non-resident non-fixed trust

266-55(1)    
The Commissioner may give the trustee of a fixed trust a notice in accordance with section 266-60 if the requirements of subsections (2) to (5) of this section are met.

First requirement

266-55(2)    
In its return of income for an income year, the fixed trust:

(a) must have deducted a tax loss from an earlier income year; or

(b) must not have worked out its net income and tax loss for the income year under Division 268 ; or

(c) must have deducted an amount in relation to a debt;

where it would not be allowed to deduct the tax loss or amount in respect of the debt, or would be required to work out its net income and tax loss under that Division, unless it met the conditions in section 266-45 .

Second requirement

266-55(3)    
In order to determine whether it meets the conditions in section 266-45 , the Commissioner must need information about a non-fixed trust mentioned in subsection 266-45(5) .

Third requirement

266-55(4)    
When the Commissioner gives the notice:

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

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

Fourth requirement

266-55(5)    
The Commissioner must give the notice before the later of:

(a) 5 years after the end of the income year mentioned in subsection (2); and

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