Income Tax Assessment Act 1997
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Hide history noteSECTION 820-583 Classification of head company
Outward investing entity (non-ADI)
820-583(1)
The *head company of a *consolidated group or of a *MEC group is an outward investing entity (non-ADI) for a period that is all or part of an income year if, and only if, it is: (a) an *outward investor (general) for that period (because of subsection (2) ); or (b) an *outward investor (financial) for that period (because of subsection (3) ).
[ CCH Note: S 820-583(1) will be substituted by No 23 of 2024, s 3 and Sch 2 item 79, effective 1 July 2024. For application provisions, see note under s 705-60 . S 820-583(1) will read:
]
General class investor
820-583(1)
The * head company of a * consolidated group or of a * MEC group is a general class investor for a period that is all or part of an income year if:
(a) for that period, the head company satisfies the requirement in subsection 820-46(2) ; and
(b) no * member of the group is a * financial entity or * ADI at any time during that period.
Outward investor (general)
820-583(2)
The *head company of a *consolidated group or of a *MEC group is an outward investor (general) for a period that is all or part of an income year if: (a) for that period, the head company satisfies the condition in the second column of item 1 or 3 of the table in subsection 820-85(2) ; and (b) no *member of the group is a *financial entity or *ADI at any time during that period.
[ CCH Note: S 820-583(2) will be repealed by No 23 of 2024, s 3 and Sch 2 item 79, effective 1 July 2024. For application provisions, see note under s 705-60 .]
Outward investor (financial)
820-583(3)
The *head company of a *consolidated group or of a *MEC group is an outward investor (financial) for a period that is all or part of an income year if: (a) for that period, the head company satisfies the condition in the second column of item 1 or 3 of the table in subsection 820-85(2) ; and (b) throughout that period, there is at least one *member of the group that is a *financial entity; and (c) no *member of the group is an *ADI at any time during that period.
[ CCH Note: S 820-583(3) will be amended by No 23 of 2024, s 3 and Sch 2 items 80 - 82, by substituting " investing financial entity (non-ADI) " for " investor (financial) " in the heading, " investing financial entity (non-ADI) " for " investor (financial) " and " item 1 or 2 " for " item 1 or 3 " in para (a), effective 1 July 2024. For application provisions, see note under s 705-60 .]
Inward investing entity (non-ADI)
820-583(4)
The *head company of a *consolidated group or of a *MEC group is an inward investing entity (non-ADI) for a period that is all or part of an income year if, and only if, it is: (a) an *inward investment vehicle (general) for that period (because of subsection (5) ); or (b) an *inward investment vehicle (financial) for that period (because of subsection (6) ).
[ CCH Note: S 820-583(4) will be substituted by No 23 of 2024, s 3 and Sch 2 item 83, effective 1 July 2024. For application provisions, see note under s 705-60 . S 820-583(4) will read:
]
Inward investing financial entity (non-ADI)
820-583(4)
The * head company of a * consolidated group or of a * MEC group is an inward investing financial entity (non-ADI) for a period that is all or part of an income year if, and only if, it is an * inward investment vehicle (financial) for that period (because of subsection (6) ).
Inward investment vehicle (general)
820-583(5)
The *head company of a *consolidated group or of a *MEC group is an inward investment vehicle (general) for a period that is all or part of an income year if: (a) throughout that period, the head company is a *foreign controlled Australian entity; and (b) no member of the group is a *financial entity or *ADI at any time during that period.
[ CCH Note: S 820-583(5) will be repealed by No 23 of 2024, s 3 and Sch 2 item 83, effective 1 July 2024. For application provisions, see note under s 705-60 .]
Inward investment vehicle (financial)
820-583(6)
The *head company of a *consolidated group or of a *MEC group is an inward investment vehicle (financial) for a period that is all or part of an income year if: (a) throughout that period, the head company is a *foreign controlled Australian entity; and (b) throughout that period, there is at least one *member of the group that is a *financial entity; and (c) no member of the group is an *ADI at any time during that period.
Outward investing entity (ADI)
820-583(7)
The *head company of a *consolidated group or of a *MEC group is an outward investing entity (ADI) for a period that is all or part of an income year if, and only if: (a) apart from Part 3-90 (about consolidation of groups) and this Subdivision, at least one *member of the group would be an *outward investing entity (ADI) for that period; or (b) these conditions are met:
(i) at least one member of the group would, apart from that Part and this Subdivision, be an *outward investing entity (non-ADI) for that period; and
(ii) at least one member of the group is an *ADI throughout that period.
[ CCH Note: S 820-583(7) will be amended by No 23 of 2024, s 3 and Sch 2 item 84, by inserting " financial " after " investing " in para (b)(i), effective 1 July 2024. For application provisions, see note under s 705-60 .]
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