INCOME TAX ASSESSMENT ACT 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-6 - THE IMPUTATION SYSTEM  

Division 220 - Imputation for NZ resident companies and related companies  

Subdivision 220-C - Modifications of other Divisions of this Part  

Effects of supplementary dividend from NZ franking company

SECTION 220-410   Franking credit reduced if tax offset reduced  

220-410(1)  
If, under section 220-400 or 220-405 , a *corporate tax entity's *tax offset (the reduced tax offset ) for the *franked distribution described in that section is less than it would be apart from that section, the *franking credit arising in that entity's *franking account because of the *distribution is equal to the reduced tax offset.

220-410(2)  


The following provisions have effect subject to this section:


(a) items 3 and 4 of the table in section 205-15 ;


(b) items 5 and 6 of the table in section 219-15 .

Note:

Each of those items gives rise to a franking credit for a franked distribution if the recipient is entitled under Division 207 to a tax offset for the distribution. Those items provide that the amount of the credit equals the amount of that offset.


View surrounding sectionsView surrounding sectionsBack to top


This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.