Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) Income (not being a dividend) that would, but for this subsection, be taken to be derived from a source in a prescribed Territory shall be deemed, for the purposes of this Division, not to be derived from such a source to the extent to which the income is received or accrues, directly or indirectly, in pursuance of an agreement or transaction that:
(a) was not a genuine commercial or family agreement or transaction; or
(b) was entered into for the purpose, or for purposes that included the purpose, of avoiding liability to taxation.
Note: Section 960‑255 of the Income Tax Assessment Act 1997 may be relevant to determining family relationships for the purposes of paragraph (1)(a).
(2) Income that would, but for this subsection, be taken to be derived from a source outside Australia shall be deemed, for the purposes of this Division, not to be derived from such a source to the extent to which the income is received or accrues, directly or indirectly, in pursuance of an agreement or transaction that:
(a) was not a genuine commercial or family agreement or transaction; or
(b) was entered into for the purpose, or for purposes that included the purpose, of avoiding liability to taxation.
Note: Section 960‑255 of the Income Tax Assessment Act 1997 may be relevant to determining family relationships for the purposes of paragraph (2)(a).