Treasury Laws Amendment (Making Multinationals Pay Their Fair Share - Integrity and Transparency) Act 2024 (23 of 2024)

Schedule 2   Thin capitalisation

Part 1   Amendments

Income Tax Assessment Act 1997

115   After section 820-980

Insert:

820-985 Records about group ratio

(1) An entity must keep records under this section for a *group ratio that the entity worked out for the purposes of this Division.

(2) The records must:

(a) contain particulars that have been taken into account in working out the *group ratio; and

(b) be sufficient for a reasonable person to understand how the group ratio has been worked out.

(3) The entity must prepare the records before the earlier of the following times:

(a) the time by which the entity must lodge its *income tax return for the income year in relation to all or a part of which the amount is worked out;

(b) the time at which the entity lodges its *income tax return for that income year.

Note: A person must comply with the requirements in section 262A of the Income Tax Assessment Act 1936 about the keeping of these records (see subsections (2AA) and (3) of that section).