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Edited version of your written advice
Authorisation Number: 1051373595908
Date of advice: 16 May 2018
Ruling
Subject: Imputation benefits
In order to protect the privacy and commercial in-confidence components of this private ruling the following summary is provided:
Question 1
Will the Commissioner make a determination under the anti-streaming rule in paragraph 204-30(3)(a) of the ITAA 1997 that a franking debit arises in the franking account of Company in respect of the Special Dividend?
Answer
No
Question 2
Will the Commissioner make a determination under the franking anti avoidance measure in paragraph 177EA(5)(a) of the ITAA 1936 that a franking debit arises for Company in respect of the Special Dividend?
Answer
No
Scheme
The taxpayer company (Company) is an Australian public company listed on the ASX. During the year it determined and paid a special dividend that was a condition precedent to a takeover scheme of arrangement between the Company and its members effected under section 411 of the Corporations Act 2001.