• Worksheet 3 – Working out amounts from partnerships to include in the tainted income ratio

    Attention

    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

    Use a separate worksheet for each partnership. All amounts are to be in the currency in which the accounts of the partnership are kept. Do not convert to Australian dollars.

    Part A – Working out the partnership’s gross turnover

    Step 1

    Work out the partnership’s gross revenue as shown in the partnership’s accounts.

    a  $                         

    Step 2

    Work out the following amounts included in a.

    Do not include these amounts in the ratio.

     

    Category of gross revenue

    Amount $

     

    Amounts already assessed to the CFC in Australia 

                            

     

    Amounts derived through a branch in a listed country that is not EDCI in relation to any listed country and are subject to tax in a listed country

                            

     

    Non-portfolio dividends from a foreign company

                             

     

    Dividends out of profits previously attributed 

                            

     

    Franked dividends

                             

     


    Trust amounts

                            

     

     

    Total:

    b  $                         

    Step 3

    Work out the following gross amounts included in a.

    Do not count amounts already excluded under step 2. The net amounts are added back at step 4.

    Category of gross revenue

    Amount $

     

    Revenue from commodity contracts 

                            

     

    Revenue from exchange gains 

                            

     

    Revenue from other asset disposals 

                            

     

     

    Total:

    c  $                         

    Step 4

    Work out net gains included in gross turnover.

    Do not count amounts that fall into the categories in step 2.

    Category of net gain

    Amount $

     

    Net commodity gain

                             

     


    Net exchange gain

                            

     

    Net gain from other asset disposals

                            

     

     

    Total:

    d  $                         

    Gross turnover of the partnership (a – b – c + d)

    A  $                         

    Part B – Working out the partnership’s gross tainted turnover

    Step 1

    Work out the partnership’s gross revenue that is passive income after exclusions (item a from part A less items b and c from part A) that falls into the following categories of passive income:

    Category of passive income

    Amount $

     

    Tainted interest income

                             

     

    Annuities 

                             

     

    Tainted royalty income 

                             

     

    Tainted rental income 

                             

     

    Dividends 

                             

     

    Other passive income 

                             

     

     

    Total:

    a  $                         

    Step 2

    Work out the partnership’s gross revenue that is tainted sales income after exclusions (item a from part A less items b and c from part A). 

    b  $                         

    Step 3

    Work out the partnership’s gross revenue that is tainted services income after exclusions (item a from part A less items b and c from part A). 

    c  $                         

    Step 4

    Work out the partnership’s net gains included in gross turnover that are tainted income.

     

    Category

    Amount $

     

    Net commodity gain (from part A) 

                             

     

    Net tainted commodity gain 

                             

     

    Smaller amount 

                             

     

    Net exchange gain (from part A) 

                             

     

    Net tainted exchange gain 

                             

     

    Smaller amount 

                             

     

    Net gain from assets (from part A) 

                             

     

    Net gain from tainted assets 

                             

     

    Smaller amount

                              

     

    Total smaller amounts:

     $                         

    Gross tainted turnover of the partnership
    (a + b + c + d)

    B  $                        

    Part C – CFC’s share of the gross turnover and the gross tainted turnover

    CFC’s percentage interest in the net income of the partnership:

                            %

    CFC’s share of the gross turnover of the partnership:

    Percentage interest in net income from above

    x

    $                           
    (A from part A)

    =

    C  $                           

    Use this amount to fill in step 5 of part A of worksheet 2

    CFC’s share of the gross tainted turnover of the partnership:

    Percentage interest in net income from above

    x

    $                           
    (B from part B)

    =

     $                           

    Use this amount to fill in step 5 of part B of worksheet 2

      Last modified: 04 Aug 2014QC 39785