INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 7 - Private companies  

SECTION 104   ADDITIONAL TAX ON UNDISTRIBUTED AMOUNT  

104(1)   [Liability to additional tax]  

Subject to this section, a private company which is not, by section 105A , to be deemed to have made a sufficient distribution in relation to the year of income is liable to pay additional tax upon the undistributed amount at the rate declared by the Parliament by the Act declaring the rates of income tax for the year of tax.

104(2)   [Non-resident private company]  

Additional tax under this section is not payable by a private company that is a non-resident and does not carry on business in Australia by means either of a principal office or of a branch.

104(3)   [Application from 1 July 1986 onwards]  

Additional tax under this section is not payable by a private company in relation to the year of income commencing on 1 July 1986 or a subsequent year of income unless the distributable income of the company of the year of income includes an amount of phasing-out dividends.