New Business Tax System (Consolidation and Other Measures) Act (No. 1) 2002 (117 of 2002)

Schedule 6   Consolidation: losses

Part 1   Maintaining same ownership to utilise transferred losses

Income Tax Assessment Act 1997

1   Paragraph 707-210(4)(c)

Repeal the paragraph, substitute:

(c) nothing happened, after the time the loss was transferred from the test company to the*head company of a*consolidated group, to*membership interests or voting power:

(i) in an entity that was at that time a*subsidiary member of the group; or

(ii) in an entity that was at that time interposed between the test company and the head company;

that would affect whether the test company would meet the conditions in section 165-12 for the income year; and