Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-10 - FINANCIAL TRANSACTIONS  

Division 243 - Limited recourse debt  

Subdivision 243-D - Special provisions  

Operative provisions

SECTION 243-70   Application of Division to companies ceasing to be 100 % subsidiary  

243-70(1)    
This section applies to a company if:

(a) the company ceases to be a * 100 % subsidiary in relation to at least one other company; and

(b) at that time, the company is the debtor for a * limited recourse debt that has not been paid in full by the company; and

(c) the creditor's rights under the debt are transferred or assigned to another entity.

243-70(2)    
If this section applies, this Division applies as if the debt were terminated, and refinanced with * non-arm's length limited recourse debt, at the time the company ceased to be a * 100 % subsidiary of that other company.