Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 715.910

  (1)   This section applies if:

  (a)   as a result of an * arrangement to which section   124 - 784A applies, an original entity (within the meaning of that section) becomes a * subsidiary member of a * consolidated group; and

  (b)   section   715 - 920 does not apply.

Note 1:   Section   715 - 920 applies if the original entity was the head company of another consolidated group before the arrangement was completed.

Note 2:   Sections   124 - 784A and 124 - 784B apply to arrangements for restructures.

  (2)   For the purposes of section   124 - 784B:

  (a)   the completion time (within the meaning of that section) for the * arrangement is taken to be the time the original entity becomes a member of the group; and

  (b)   disregard Division   701 (Core rules) in relation to the original entity becoming a member of the group.

  (3)   The * head company of the group may choose for:

  (a)   section   701 - 10 (cost to head company of assets of joining entity); and

  (b)   subsection   701 - 35(4) (setting value of trading stock at tax - neutral amount); and

  (c)   subsection   701 - 35(5) (setting value of registered emissions unit at tax - neutral amount);

not to apply to the original entity's assets in respect of the original entity becoming a * subsidiary member of the group.

Note:   This subsection does not affect the application of subsection   701 - 1(1) (the single entity rule).