Treasury Laws Amendment (2020 Measures No. 1) Act 2020 (49 of 2020)

Schedule 1   Significant global entities

Income Tax Assessment Act 1997

14   At the end of Subdivision 960-U


960-575 Meaning of notional listed company group

(1) A notional listed company group is a group of entities that would be required to be consolidated for accounting purposes as a single group, on the assumption that an entity (the test entity ) were a listed company (within the meaning of section 26BC of the Income Tax Assessment Act 1936).

(2) Each entity in that group is a member of the *notional listed company group.

(3) For the purposes of subsection (1), determine whether a group of entities would be required to be consolidated for accounting purposes as a single group according to:

(a) *accounting principles; or

(b) if accounting principles do not apply in relation to the test entity - commercially accepted principles related to accounting.

(4) In applying the *accounting principles or commercially accepted principles referred to in subsection (3):

(a) disregard any exceptions in those principles to requirements in those principles for entities to be consolidated as a single group; and

(b) without limiting paragraph (a), disregard any rule in those principles providing that one or more entities (the excepted entities ) are notrequired to be consolidated as a single group with one or more other entities because the effect of such consolidation would be immaterial as a result of:

(i) the size of the excepted entities; or

(ii) any other matter.

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