(a) sets out, for the purposes of item 2, column 4 of the table in subsection 703 - 15(2) of the Income Tax Assessment Act 1997 , rules that allow certain entities to be subsidiary members of consolidatable groups or consolidated groups where other entities are interposed between them and the head company of the group (see Subdivision 701C - B); and
(b) modifies certain rules in Part 3 - 90 of the Income Tax Assessment Act 1997 relating to setting the tax cost of assets to take account of those membership rules (see Subdivision 701C - C).
Note: This Division has effect in relation to a MEC group in the same way in which it has effect in relation to a consolidated group (see sections 719 - 2 and 719 - 10 of this Act).
701C - 10 Additional membership rules where entities are interposed between the head company and a subsidiary member--case where an interposed entity is a foreign resident and the subsidiary member is a company
701C - 15 Additional membership rules where entities are interposed between the head company and a subsidiary member--case where an interposed entity is a foreign resident and the subsidiary member is a trust or partnership
701C - 20 Transitional foreign - held subsidiaries and transitional
foreign - held indirect subsidiaries