Income tax: interest withholding tax exemption under section 128F of the Income Tax Assessment Act 1936 - what conditions need to be satisfied before a resident company can raise finance by the issue of debentures through a 'non-resident borrowing subsidiary' in another country?
Please note that the PDF version is the authorised version of this withdrawal notice.This document has changed over time. View its history.
Notice of Withdrawal
1. TD 1999/25 explains that subsection 128F(8) of the Income Tax Assessment Act 1936 (ITAA 1936) provides that debentures issued through certain non-resident subsidiaries are eligible for exemption from withholding tax, provided the subsidiary raises finance in a country specified in the regulations. The only country listed in the regulations was the United States of America. However, the ruling also stated that the Commissioner would consider submissions for other countries to be added.
Commissioner of Taxation
12 April 2017
You are free to copy, adapt, modify, transmit and distribute this material as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).