INCOME TAX ASSESSMENT ACT 1997 - SECT 709.80 Subsidiary member's distributions on employee shares and certain preference shares taken to be distributions by the head company
INCOME TAX ASSESSMENT ACT 1997 - SECT 709.80
Subsidiary member's distributions on employee shares and certain preference shares taken to be distributions by the head company(a) a * subsidiary member of a * consolidated group makes a * frankable distribution; and
(b) the distribution is made because an entity (the shareholder ) owns a * share in the subsidiary member; and
(c) the share must be disregarded under subsection 703 - 35(4) or 703 - 37(4); and
(d) the distribution is made to the shareholder, or to another entity because the shareholder owns the share; and
(e) the entity to which the distribution is made is not a * member of the group.
Note 1: Subsection 703 - 35(4) requires certain shares acquired under employee share schemes to be disregarded.
Note 2: Subsection 703 - 37(4) requires certain preference shares to be disregarded following an ADI restructure.
(2) Part 3 - 6 operates as if the * distribution were a * frankable distribution made by the * head company of the group to a * member of the head company.
Note: Part 3 - 6 deals with imputation.