Commonwealth Consolidated Acts

PETROLEUM RESOURCE RENT TAX ASSESSMENT ACT 1987 - SECT 2BA

  (1)   This section sets out the method for identifying a designated company group for the purposes of this Act.

  (2)   First, identify a particular overall company group.

  (3)   Second, identify all of the members of the overall company group that are entitled to derive assessable receipts in relation to a petroleum project (whether or not the same petroleum project). These members constitute a provisional designated company group .

  (4)   Third, if the following conditions are satisfied in relation to a company (the key company ):

  (a)   the key company is a member of the provisional designated company group;

  (b)   the key company is not a subsidiary of any other company in the provisional designated company group;

  (c)   each other company in the provisional designated company group is a subsidiary of the key company;

then:

  (d)   the provisional designated company group is a designated company group ; and

  (e)   the key company is the head company of that designated company group.

  (5)   Fourth, if:

  (a)   subsection   (4) does not apply; and

  (b)   each company in the provisional designated company group is a subsidiary of another company (the key company ) that:

  (i)   is a member of the overall company group; and

  (ii)   is not a member of the provisional designated company group;

then:

  (c)   both:

  (i)   the key company; and

  (ii)   the members of the provisional designated company group;

    constitute a designated company group ; and

  (d)   the key company is the head company of that designated company group.

  (6)   Subsection   (5) has effect subject to subsection   (7).

  (7)   If:

  (a)   a designated company group is covered by subsection   (5); and

  (b)   the head company of the designated company group is a subsidiary of another company (the higher - tier company ); and

  (c)   the higher - tier company is a member of the overall company group; and

  (d)   the higher - tier company is not a member of the provisional designated company group;

there is taken not to be a designated company group of which:

  (e)   the higher - tier company is the head company; and

  (f)   any member of the provisional designated company group is a member.