Income Tax Assessment Act 1936
PART X
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ATTRIBUTION OF INCOME IN RESPECT OF CONTROLLED FOREIGN COMPANIES
Division 7
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Calculation of attributable income of CFC
Subdivision C
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Modifications relating to Australian capital gains tax
SECTION 419
MODIFIED APPLICATION OF SUBDIVISION 126-B OF THE
INCOME TAX ASSESSMENT ACT 1997
419(1)
[Application to calculation]
For the purposes of applying this Act in calculating the attributable income of the eligible CFC, Subdivision 126-B of the Income Tax Assessment Act 1997 has effect as if the table in subsection 126-50(5) of that Act were omitted and the following table were substituted:
Additional requirements | |||
Item | The originating CFC's residency status | The recipient company's residency status | This requirement must be satisfied |
1 | A resident of a listed country at the time of the trigger event | Either:
(a) a resident of that listed country at that time; or (b) an Australian resident at that time |
It does not matter what the roll-over asset is |
2 | A resident of a listed country at the time of the trigger event | A resident of a particular unlisted country at that time | The asset must have been used (just before that time) in connection with a permanent establishment of the originating CFC in any unlisted country at or through which the originating CFC carried on business just before that time |
3 | A resident of an unlisted country at the time of the trigger event | Either:
(a) a resident of an unlisted country at that time; or (b) an Australian resident at that time |
It does not matter what the roll-over asset is |
419(2)
[Residency assumption ignored]
The residency assumption is ignored for the purpose of applying the table in subsection (1).
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