Income Tax Assessment Act 1936

PART III - LIABILITY TO TAXATION  

Division 9AA - Demutualisation of insurance companies and affiliates  

Subdivision B - Key concepts and related definitions  

SECTION 121AP   SUBSIDIARY AND WHOLLY-OWNED SUBSIDIARY  

121AP(1)   Subsidiary.  

A company (the test company ) is a subsidiary of another company (the holding company ) if at least half of the shares in the test company are beneficially owned by:

(a) the holding company; or

(b) a company that is, or 2 or more companies each of which is, a subsidiary of the holding company; or

(c) the holding company and a company that is, or 2 or more companies each of which is, a subsidiary of the holding company.

121AP(2)   [ Subsidiary of subsidiary company ]  

If a company is a subsidiary of another company (including because of this subsection), every company that is a subsidiary of the first-mentioned company is a subsidiary of the other company.

121AP(3)   Wholly-owned subsidiary.  

A company is a wholly-owned subsidiary of another company if it would, under subsection (1) or (2), be a subsidiary of the other company assuming that the reference in subsection (1) to at least half of the shares were instead a reference to all of the shares.