Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 715.120

  (1)   This section applies if:

  (a)   at a particular time (the leaving time ), an entity (the leaving entity ) ceases to be a * subsidiary member of a * consolidated group; and

  (b)   just before the leaving time, the * head company had a * loss denial pool; and

  (c)   at the leaving time, at least one * CGT asset (a leaving asset ) that was in the pool just before that time becomes a CGT asset of the leaving entity because subsection   701 - 1(1) (Single entity rule) ceases to apply to the entity;

  (2)   Each leaving asset leaves the * loss denial pool at the leaving time.

  (3)   If:

  (a)   the leaving entity is a company and the leaving time is not a * changeover time for the leaving entity; or

  (b)   the leaving entity is a trust;

the * head company must make one of the choices for which sections   715 - 125, 715 - 130 and 715 - 135 provide.

For provisions about making one of these choices,
see sections   715 - 175 to 715 - 185.