Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1936 - SECT 160ZZVA

  (1)   The object of this Part   is:

  (a)   to assist in calculating that part of a foreign bank's taxable income that is referable to certain activities of its Australian branch; and

  (b)   to make it clear that withholding tax will apply to amounts that are taken by this Part   to be interest paid by the branch to the bank.

Note:   This Part   also:

(a)   applies to foreign entities that are financial entities in the same way as it applies to foreign banks; and

(b)   applies to permanent establishments in Australia of foreign entities that are financial entities in the same way as it applies to Australian branches of foreign banks.

  See Division   4.

  (2)   For the purpose of achieving the object mentioned in subsection   (1), this Part   requires, in the circumstances stated in this Part   and not otherwise, that the Australian branch is to be treated as if it were a separate legal entity from the bank.