Commonwealth Consolidated Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [Help]

INCOME TAX ASSESSMENT ACT 1997 - SECT 705.95

Pre-joining time distributions out of certain profits--step 4 in working out allocable cost amount

                   For the purposes of step 4 in the table in section 705-60, the step 4 amount is the sum of all distributions made by the joining entity before the joining time that:

                     (a)  the * head company receives directly, or would receive indirectly if entities interposed between the head company and the joining entity successively distributed any distribution they received immediately after receiving it; and

                     (b)  were made out of profits:

                              (i)  that did not accrue to the joined group before the joining time (see subsection 705-90(7)); or

                             (ii)  that accrued to the joined group before the joining time and recouped losses of any * sort that accrued to the joined group before that time (see subsection 705-90(8)).

Note:       As well as subsection 705-90(7), paragraph 705-90(9)(b) and subsection 705-90(10) are relevant to working out whether or not profits accrued to the joined group before the joining time.



AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback