Taxation Laws Amendment Act (No. 2) 1993 (18 of 1993)

PART 3   AMENDMENT OF THE INCOME TAX ASSESSMENT ACT 1936

Division 7   Amendments relating to foreign investment

Subdivision N   Correction of sundry errors

53   Exemption

Section 523 of the Principal Act is amended by omitting paragraph (c) and substituting the following:

"(c) having regard to all the activities in which the company engaged in that period or that part of that period, it would be concluded that any 2 or more of the activities referred to in subparagraph (b) (ii), taken together, were the activities in which the company was principally engaged throughout that period or that part of that period, as the case may be;

then the taxpayer's interest is disregarded for the purposes of the application of the operative provision to the taxpayer in relation to the foreign company in respect of the notional accounting period.".