Inward investing entities
An inward investing entity is either of the following:
- an Australian entity controlled by a foreign entity
- a foreign entity that derives Australian assessable income through an Australian permanent establishment or direct Australian investment; for example, an Australian rental property.
An example of an inward investing entity is an Australian company that is a subsidiary of a United States parent company.
An ADI will be an inward investing entity where the ADI is a foreign bank which carries on its banking business in Australia at or through one or more Australian permanent establishments.
See also
- subsection 820-185(2) of the ITAA 1997 for non-ADI entities
- subsection 820-395(2) for ADI entities.
Inward investment vehicle
This is an Australian entity that is foreign controlled. See foreign controlled Australian entity.
See also
- subsection 820-185(2) of the ITAA 1997.
Inward investor
An inward investor is any foreign entity. Such entities are only subject to the thin capitalisation rules if they have Australian income-producing assets.
See also
- subsection 820-185(2) of the ITAA 1997.