Income Tax Assessment Act 1936

Div 9A inserted by No 191 of 1992. Former Div 9A (Friendly Society Dispensaries) repealed by No 154 of 1981.

S 121EH repealed by No 110 of 2021, s 3 and Sch 2 item 7, effective 1 October 2021 and applicable in relation to assessments for the 2023-24 year of income and later years of income. S 121EH formerly read:

SECTION 121EH LOSS OF SPECIAL TREATMENT WHERE EXCESSIVE USE OF NON-OB MONEY  
121EH
If:

(a) the subsection 121EDA(3) exception in respect of the lending, investing or other use of non-OB money of an OBU in carrying on activities did not apply to exclude amounts from its assessable OB income; and

(b) as a result, more than 10% of what would then be the OBU's assessable OB income of any year of income would be attributable to that lending, investing or other use of non-OB money;

then:

(c) subsection 121EG(1) (which limits the OBU's assessable income) does not apply to the OBU's assessable OB income of the year of income; and

(d) subsection 121EG(2) (which limits the OBU's allowable deductions) does not apply to so much of each allowable OB deduction of the OBU for the year of income as is calculated using the formula:

Allowable OB deduction	×	Assessable OB income
		Sum of allowable OB deductions

(where each amount is worked out ignoring the assumption in paragraph (a)); and

(e) subsection 121EG(3A) (which limits the OBU's foreign income tax) does not apply to the OBU in relation to an amount of foreign income tax (within the meaning of the Income Tax Assessment Act 1997 ) the OBU paid in respect of an amount of the OBU's assessable OB income of the year of income.

S 121EH amended by No 70 of 2015, s 3 and Sch 3 item 16, by substituting " subsection 121EDA(3) " for " subsection 121EE(2) " in para (a), applicable in relation to years of income starting on or after 1 July 2015.

S 121EH amended by No 143 of 2007 , s 3 and Sch 1 item 58, by inserting para (e), applicable in relation to income years, statutory accounting periods and notional accounting periods starting on or after the first 1 July that occurs after 24 September 2007. For savings provisions, see note under s 559A .

S 121EH inserted by No 191 of 1992.