What are the changes?

Changes include:

  • A co-operative company is allowed to frank distributions that it makes to its members from assessable income for the current income year.
  • A co-operative company still has access to a deduction for assessable income that it distributes as unfranked distributions to members.
  • For the purposes of a determining whether a deduction is allowable, a co-operative company is able to treat distributions made within 3 months after the end of the income year, or such further time allowed by the Commissioner, as if they were paid on the last day of the income year.

The changes apply to distributions made on or after 1 July 2002.

    Last modified: 17 Dec 2015QC 17074