Income Tax Assessment Regulations 1997 (Repealed)
PART 6
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THE DICTIONARY
Division 974
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Debt and equity interests
Subdivision 974-F
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Related concepts
REGULATION 974-135C
974-135C
REDEEMABLE PREFERENCE SHARES
For paragraph 974-135(8)(a) of the Act, an obligation to redeem or buy back a preference share in relation to a company is not a contingent obligation merely because a requirement exists, under a law, to the effect that:
(a) the redemption or buy back must not prejudice the company's ability to pay its creditors; or
(b) the redemption or buy back must not cause the company's remaining assets to become insufficient to pay any of the company's debts for which provision for payment has not otherwise been made.
View history note
Hide history noteFor paragraph 974-135(8)(a) of the Act, an obligation to redeem or buy back a preference share in relation to a company is not a contingent obligation merely because a requirement exists, under a law, to the effect that:
(a) the redemption or buy back must not prejudice the company's ability to pay its creditors; or
(b) the redemption or buy back must not cause the company's remaining assets to become insufficient to pay any of the company's debts for which provision for payment has not otherwise been made.
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