Commonwealth Numbered Acts

TAXATION LAWS AMENDMENT (FOREIGN INCOME) ACT 1990 No. 5 of 1991 - SECT 19

19. Section 108 of the Principal Act is amended by inserting after subsection
(2) the following subsections:

"(2A) In spite of anything in any other provision of this section, if:

   (a)  a company has profits immediately before a distribution time for a
        distribution benefit in relation to the company; and

   (b)  the distribution time occurred after 3 June 1990; and

   (c)  the first company is a CFC at the distribution time; and

   (d)  the first company is a resident of an unlisted country at the
        distribution time; and

   (e)  apart from this subsection, an amount deemed by this section to be a
        dividend paid by the company would include an amount (in this
        subsection called the `eligible distributed amount') that represents
        the whole or a part of so much of the distribution payment as does not
        exceed the amount of those profits; then, the eligible distributed
        amount is not deemed by this section to be a dividend paid by the
        company.

"(2B) An expression used in subsection (2A) of this section and in section 47A
has the same meaning in that subsection as it has in that section.".