Commonwealth Consolidated Acts Commonwealth Consolidated ActsIf:
(a) a company has a capital gain or capital loss arising from a CGT event that happens in relation to a share in a foreign company; and
(b) the company holds a direct voting percentage of 10% or more in the foreign company for a certain period before the CGT event happens;
the gain or loss is reduced by a percentage that reflects the degree to which the assets of the foreign company are used in an active business.
Table of sections
Operative provisions
768 - 505 Reducing a capital gain or loss from certain CGT events in relation to certain voting interests
Active foreign business asset percentage
768 - 510 Active foreign business asset percentage
768 - 515 Choices to apply market value method or book value method
768 - 520 Market value method--choice made under subsection 768 - 515(1)
768 - 525 Book value method--choice made under subsection 768 - 515(2)
768 - 530 Active foreign business asset percentage--modifications for foreign life insurance companies and foreign general insurance companies
768 - 533 Foreign company that is a FIF using CFC calculation method--treatment as AFI subsidiary under this Subdivision
768 - 535 Modified rules for foreign wholly - owned groups
Types of assets of a foreign company
768 - 540 Active foreign business assets of a foreign company
768 - 545 Assets included in the total assets of a foreign company
Voting percentages in a company
768 - 550 Direct voting percentage in a company
768 - 555 Indirect voting percentage in a company
768 - 560 Total voting percentage in a company