Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 202.47

             (1)  This section applies to an amount paid by a body corporate if:

                     (a)  the body corporate is a non-operating holding company within the meaning of the Financial Sector (Business Transfer and Group Restructure) Act 1999 ; and

                     (b)  a restructure instrument under Part 4A of that Act is in force in relation to the body; and

                     (c)  because of the restructure to which the instrument relates, an * ADI becomes a subsidiary (within the meaning of that Act) of the body; and

                     (d)  the amount is sourced, directly or indirectly, from the profits of the ADI before the restructure instrument came into force; and

                     (e)  the amount would have been a * frankable distribution if it had been distributed by the ADI before the restructure instrument came into force.

             (2)  The amount:

                     (a)  is taken to be a dividend paid by the body, for the purposes of this Act (and so is a * distribution by the body); and

                     (b)  is not taken to be an * unfrankable distribution by the body just because of paragraph 202-45(e) (which makes distributions from * share capital accounts unfrankable).

Guide to Subdivision 202-D