New Business Tax System (Thin Capitalisation) Act 2001 (162 of 2001)

Schedule 2   Dictionary amendments

Income Tax Assessment Act 1997

57   Subsection 995-1(1)

Insert:

risk-weighted assets , of an entity and at a particular time, means the sum of the entity's risk exposures that the entity has at that time, as is determined in accordance with:

(a) if the entity is an *Australian entity that is not a *foreign controlled Australian entity - the *prudential standards; or

(b) in any other case - either of the following:

(i) the prudential standards;

(ii) the prudential standards determined by the prudential regulator in the country of which the entity, or the *foreign bank that has *TC control interests of at least 40% in the entity, is a resident.