Section 5 - Tainted income ratio for listed country CFCs for statutory accounting periods commencing before 1 July 1997

Warning:

This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

End of attention

The following tainted income ratio is used to determine the active income test for a CFC in a country on the original list for statutory accounting periods commencing before 1 July 1997:

Tainted eligible designated concession income ÷ eligible designated concession income

Countries on the original list are shown at attachment A in appendix 1.

Eligible designated concession income (EDCI) is the part of gross turnover that is both:

• designated as a concession by the Income Tax Regulations - see appendix 1
• is not taxed in any listed country other than under a designated concession.

Tainted EDCI is EDCI that is also passive income, tainted sales income or tainted services income.