INCOME TAX ASSESSMENT ACT 1997 (ARCHIVE)

CHAPTER 4 - INTERNATIONAL ASPECTS OF INCOME TAX  

PART 4-5 - GENERAL  

Division 820 - Thin capitalisation rules  

Subdivision 820-F - Thin capitalisation rules for resident TC groups  

Operative provisions

SECTION 820-456 (ARCHIVE)   Income year starts on or after cut-off day but before 1 July 2003  

820-456(1)    
This section applies if:

(a) the cut-off day is before 1 July 2003; and

(b) the income year starts on or after the cut-off day but before 1 July 2003; and

(c) the top entity makes the choice referred to in section 820-455 .

820-456(2)    
This Subdivision (except sections 820-455 to 820-458 ) applies to each of the potential group members on the following basis:

(a) the income year is treated as ending on 30 June 2003;

(b) the *resident TC group is treated as consisting only of each (if any) of the potential group members that, at no time before 1 July 2003, was a *member of a *consolidated group or *MEC group.

820-456(3)    
For each of the potential group members, for each of the following periods:

(a) the period beginning at the start of the income year and ending on 30 June 2003;

(b) the rest (if any) of the income year;

this Division (except sections 820-455 to 820-458 ) is to have either:

(c) a single application in relation to the whole of the period; or

(d) 2 or more applications, each in relation to a part of that period.

Note:

Subsection (3) is similar to section 820-581 , which sets out an example of how that section works.