INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART IIIAA - FRANKING OF DIVIDENDS  

Division 2A - Exempting companies and former exempting companies  

SECTION 160AQCNM   CONVERSION OF CERTAIN FRANKING CREDITS OF FORMER EXEMPTING COMPANY TO EXEMPTING CREDITS  

160AQCNM(1)   [Where certain franking credits would have arisen]  

If, apart from this section, a franking credit of a former exempting company would have arisen under any of sections 160APM , 160APMAA , 160APMAB , 160APMD , 160APQA , 160APQB , 160APU to 160APVH and 160ASI, the following provisions of this section have effect.

160AQCNM(2)   [Where credit taken not to arise]  

If the franking credit is wholly attributable to a period during which, or to an event taking place at a time when, the company was an exempting company:

(a) the franking credit is taken not to arise; and

(b) an exempting credit of the company equal to the amount of the franking credit is taken to arise.

160AQCNM(3)   [Partly attributable]  

If the franking credit is partly attributable to a period during which, or to an event taking place at a time when, the company was an exempting company:

(a) the franking credit is, to the extent to which it is so attributable, taken not to arise; and

(b) an exempting credit of the company equal to the amount of the franking credit, to the extent to which it is so attributable, is taken to arise.

160AQCNM(4)   [Reference to periods]  

A reference in subsection (2) or (3) to a period during which, or to a time when, a company was an exempting company includes a reference to a period during which, or to a time when, a company would have been an exempting company if paragraph 160APHBA(1)(a) had not been enacted.

160AQCNM(5)   [Sec 160ASI class C franking credit]  

For the purposes of subsection (2) or (3), a class C franking credit that arises under section 160ASI is taken to be attributable to a period or time to the extent to which the class A franking credit or class B franking credit because of which the class C franking credit arose was attributable to that period or time.