Income Tax Assessment Act 1997
The time when a * potential MEC group ceases to exist is an alteration time in respect of the * head company of a * MEC group if, just before that time, the potential MEC group's membership was the same as the membership of the MEC group.
The alteration times in subsections (1), (2) and (3) are based on the events described in subsections 719-280(2) , (3) and (4), each of which causes the test company referred to in section 719-280 to be assumed to fail the continuity of ownership test in section 165-12 .719-725(2)
(a) happens at a time in relation to * membership interests in one or more of these entities:
(i) a company that was just before that time a * member of a * MEC group and an * eligible tier-1 company of the * top company for the MEC group;
(ii) an entity interposed between a company described in subparagraph (i) and the company that was the top company for the group just before that time; and
(b) does not cause the * potential MEC group whose membership is the same as the membership of the MEC group to cease to exist, but does cause a change in the identity of the top company for the potential MEC group;
that time is an alteration time in respect of the * head company of the * MEC group.719-725(3)
The time when a * MEC group ceases to exist because there ceases to be a * provisional head company of the group is an alteration time in respect of the * head company of the * MEC group. Additional alteration times based on Subdivision 719-K 719-725(4)
If Subdivision 719-K (MEC group cost setting rules: pooling cases) applies, the time just before the trigger time referred to in paragraph 719-555(1)(a) is an alteration time in respect of the * head company of the * MEC group.