Taxation (Multinational - Global and Domestic Minimum Tax) Rules 2024

CHAPTER 8 - ADMINISTRATION  

PART 8-2 - SAFE HARBOURS  

Division 2 - Transitional CbCR Safe Harbour  

Subdivision F - Special rules for particular circumstances  

SECTION 8-85   TRANSITIONAL CbCR SAFE HARBOUR - SPECIAL RULE FOR ULTIMATE PARENT ENTITY THAT IS FLOW-THROUGH ENTITY  

8-85(1)    
This section applies if a Constituent Entity of an MNE Group is:

(a)    the Ultimate Parent Entity of the MNE Group; and

(b)    a Flow-through Entity; and

(c)    located in a jurisdiction for a Fiscal Year.

8-85(2)    
Subsection (3) applies in relation to the Fiscal Year if there are Direct Ownership Interests in the Ultimate Parent Entity that are not held by a holder described in paragraph 7-5(2)(a) , (b) or (c) .

8-85(3)    
Section 8-10 does not apply in relation to the MNE Group for the jurisdiction for the Fiscal Year.

8-85(4)    
Subsection (5) applies if subsection (3) does not apply.

8-85(5)    
For the purposes of section 8-10 , in computing the MNE Group ' s Profit (Loss) before Income Tax, and Simplified Covered Taxes, for the jurisdiction for the Fiscal Year, disregard amounts to the extent that they are attributable to a Direct Ownership Interest in the Ultimate Parent Entity held by a holder described in paragraph 7-5(2)(a) , (b) or (c) .