Worksheet 4 - Working out the attributable income of a CFC

Use this worksheet to work out the attributable income of a CFC and the amount to include in your assessable income.

Part A - Working out attributable income

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

Step 1

Summary of the notional assessable income of the CFC.

Category of notional assessable income		Amount $
Net capital gain under Parts 3-1 and 3-3 of ITAA 1997
Interest class
Offshore banking class
Modified passive class
Other class

Total:

Step 2

Summary of the notional allowable deductions of the CFC. The subtotal for any class of income should not be more than the amount of income shown in step 1 for that class. If you work out a higher amount, reduce it to the amount in step 1 for that class.

Class	Amount $		SEXI loss		P/Y loss			Subtotal
Interest		+		+		=
Offshore banking		+		+		=
Modified passive		+		+		=
Other		+		+		=
Non-quarantined		- - - - - - - - - - - - - - - - - - - - >				=
	Total:						b	$

Amount is the total of the notional allowable deductions of each class of income before any quarantining and previous years' losses. It does not include a sometimes exempt income loss.

SEXI loss is the sometimes exempt income loss of each class of income.

P/Y loss is the notional allowable deduction for previous years losses of a class of income.

Step 3	Attributable income of the CFC before any reduction for interim dividends paid - item aless item b.	c	$
Step 4	Interim dividends paid by the CFC from the amount at item c.	d	$
	Attributable income of the CFC	(c - d): A	$

Part B - Working out your share of attributable income

Step 1	Insert your attribution percentage in the CFC at the end of the CFC's statutory period - as previously worked out in worksheet 1.		$
Step 2	Work out your assessable income - multiply the amount at item a part A by the attribution percentage.		$
Step 3	Insert the reduction amount you can claim if the CFC has income or gains which were accruals-taxed in a foreign country.		$
Step 4	Take the amount in step 3 part B away from the amount in step 2 part B.	B	$

Last modified: 12 Sep 2016QC 19538