Income Tax Assessment Act 1997

Part 3-90 inserted by No 68 of 2002, s 3 and Sch 1 item 2, effective 24 October 2002 and applicable on and after 1 July 2002 (see sec 700-1 of the Income Tax (Transitional Provisions) Act 1997 ).

Div 711 inserted by No 68 of 2002, s 3 and Sch 1 item 2, effective 24 October 2002 and applicable on and after 1 July 2002 (see sec 700-1 of the Income Tax (Transitional Provisions) Act 1997 ).

S 711-46 amended by No 14 of 2018, s 3 and Sch 1 item 17, by repealing para (a), effective 1 April 2018. See note under s 716-440 . No 14 of 2018, s 3 and Sch 1 item 19 contains the following application provision:

19 Application - leaving case  
(1)
The amendment made by item 17 of this Schedule applies in relation to an entity that ceases to be a subsidiary member of a consolidated group or MEC group under an arrangement that commences after the 2016 budget time.

(2)
In this item:

2016 budget time
means 7.30 pm, by legal time in the Australian Capital Territory, on 3 May 2016.

Para (a) formerly read:

(a) just before the leaving time, a *member of the old group is an *ADI or a *financial entity;

S 711-46 inserted by No 14 of 2018, s 3 and Sch 1 item 13, effective 1 April 2018. See note under s 716-440 . No 14 of 2018, s 3 and Sch 1 item 15 contains the following application provision:

15 Application - leaving case  
(1)
The amendments made by items 12 and 13 of this Schedule apply in relation to an entity that ceases to be a subsidiary member of a consolidated group or MEC group under an arrangement that commences after the 2014 budget time.

(2)
Subject to subitem (3), the amendments made by items 12 and 13 of this Schedule also apply in relation to an entity (the leaving entity ) that ceases to be a subsidiary member of a consolidated group or MEC group under an arrangement that commences on or before the 2014 budget time.

(3)
Subitem (2) does not apply if the Commissioner considers that it is reasonable to conclude that:

(a) the circumstances mentioned in section 711-46 of the Income Tax Assessment Act 1997 (as inserted by this Schedule) existed in respect of the leaving entity; and

(b) before the 2014 budget time, the head company of the group (the old group ):

(i) worked out the old group ' s allocable cost amount for the leaving entity; and

(ii) for the purposes of working out that allocable cost amount, worked out the step 4 amount mentioned in subsection 711-45(1) of that Act; and

(c) in working out that step 4 amount before the 2014 budget time, the head company added the amount mentioned in paragraph 711-46(b) of that Act (as inserted by this Schedule).

(4)
Subitem (5) applies if:

(a) subitem (2) does not apply because of subitem (3); and

(b) the Commissioner considers that it is reasonable to conclude that, in working out that allocable cost amount before the 2014 budget time, the head company of the old group included in the step 1 amount mentioned in subsection 711-25(1) of the Income Tax Assessment Act 1997 an amount (the addition to step 1 ) in respect of the leaving entity ' s interest in the underlying securitised assets mentioned in paragraph 711-46(c) of that Act (as inserted by this Schedule).

(5)
Increase the old group ' s allocable cost amount for the leaving entity by the addition to step 1.

(6)
In this item:

2014 budget time
means 7.30 pm, by legal time in the Australian Capital Territory, on 13 May 2014.