• Worksheet 4 - Deemed rate of return method for FLPs

    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

    Complete the relevant parts of the worksheet for the interests you hold in the FLP. Read Deemed rate of return method in chapter 5 for more information.

    Part 1

       

    Description of the interests in the FLP. _________________________________

    Opening value.

    A

    ___________

    Multiply A by the deemed rate of return.

    B

    ___________

    Multiply B by

    the number of days you held the interest in the FLP
    during the notional accounting period

    the number of days in the notional accounting period (generally 365)

    C

    ___________

    Part 2

       

    Convert the FIF amount at C to Australian currency at the rate of exchange applying at the end of the notional accounting period.

    D

    A$_________

    Part 3

       

    If you have more than one interest in the FLP and completed more than one part 1 and part 2, add the amounts in each box D and show the total amount at E.

       

    If you had only one interest in the FLP, copy the amount from D to E.

    E

    ___________

    Part 4

       

    Did you receive any distributions from the FLP during the notional accounting period? See chapter 6 for information about reductions of FIF income.

       

    If No, then the amount at E is not reduced. Copy the amount from E to F. Include this amount in your assessable income.

    F

    ___________

    If Yes, insert the amount, if any, of the distributions that are of the type to which subsection 530(1) applies - see chapter 6.

    G

    ___________

    Take G away from E.

    H

    ___________

    If the amount at H is positive, include it in your assessable income.

    If the amount at H is negative, do not include any amount in your assessable income under the FIF measures.

       

    For details on how to complete your tax return, refer to the attributed foreign income question in TaxPack or the instruction guides for company, trust, partnership and superannuation fund tax returns.

       
    Last modified: 01 Jul 2006QC 18507