Income Tax Assessment Act 1997
CHAPTER 3
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SPECIALIST LIABILITY RULES
PART 3-90
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CONSOLIDATED GROUPS
Division 715
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Interactions between this Part and other areas of the income tax law
Subdivision 715-F
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Interactions with Division 230 (financial arrangements)
SECTION 715-380
Exit history rule not to affect certain matters related to Division 230 financial arrangements
Spreading fees gain or loss
715-380(1)
Subsection (2) applies if:
(a) an entity (the leaving entity ) ceases to be a * subsidiary member of a * consolidated group at a time (the leaving time ); and
(b) but for the cessation of membership and section 701-40 (the exit history rule), the * head company of the group would spread a fees gain or loss mentioned in section 230-160 over a period that ended after the leaving time.
715-380(2)
Despite section 701-40 (the exit history rule), the * head company of the * consolidated group continues to spread the fees gain or loss over that period, in accordance with section 230-160 .
Assessable income and deductions under section 701-61
715-380(3)
Subsection (4) applies if:
(a) an entity (the leaving entity ) ceases to be a * subsidiary member of a * consolidated group at a time (the leaving time ); and
(b) but for the cessation of membership and section 701-40 (the exit history rule):
715-380(4)
Despite section 701-40 (the exit history rule), the amount is included in the assessable income of the * head company for the income year, or the head company is entitled to the deduction for the income year.
View history note
Hide history noteSpreading fees gain or loss
715-380(1)
Subsection (2) applies if:
(a) an entity (the leaving entity ) ceases to be a * subsidiary member of a * consolidated group at a time (the leaving time ); and
(b) but for the cessation of membership and section 701-40 (the exit history rule), the * head company of the group would spread a fees gain or loss mentioned in section 230-160 over a period that ended after the leaving time.
715-380(2)
Despite section 701-40 (the exit history rule), the * head company of the * consolidated group continues to spread the fees gain or loss over that period, in accordance with section 230-160 .
Assessable income and deductions under section 701-61
715-380(3)
Subsection (4) applies if:
(a) an entity (the leaving entity ) ceases to be a * subsidiary member of a * consolidated group at a time (the leaving time ); and
(b) but for the cessation of membership and section 701-40 (the exit history rule):
(i) an amount would be included in the assessable income of the * head company of the group under section 701-61 for an income year ending after the leaving time; or
(ii) the head company of the group would be entitled to a deduction under section 701-61 for an income year ending after the leaving time.
715-380(4)
Despite section 701-40 (the exit history rule), the amount is included in the assessable income of the * head company for the income year, or the head company is entitled to the deduction for the income year.