Commonwealth Consolidated Acts Commonwealth Consolidated ActsPart 1 -- Amendments commencing 1 July 2016
Income Tax Assessment Act 1997
1 Subsection 36 - 55(2) (method statement, step 2)
Omit "the * standard corporate tax rate", substitute "the entity's * corporate tax rate for imputation purposes for that year".
2 Subsection 197 - 45(2) (formula)
Repeal the formula, substitute:
3 Subsection 197 - 45(2)
Insert:
"applicable gross-up rate" means the company's * corporate tax gross - up rate for the income year in which the franking debit arises.
4 Subsection 197 - 60(3) ( paragraph ( a) of the definition of applicable tax rate )
Omit "the * standard corporate tax rate", substitute "the company's * corporate tax rate for imputation purposes for the income year in which the choice is made".
5 Subsection 197 - 60(4) (formula)
Repeal the formula, substitute:
6 At the end of subsection 197 - 60(4)
Add:
where:
"applicable gross-up rate" means the company's * corporate tax gross - up rate for the income year in which the choice is made.
7 Subsection 197 - 65(3) (formula)
Repeal the formula, substitute:
8 Subsection 197 - 65(3)
Insert:
"applicable gross-up rate" means the company's * corporate tax gross - up rate for the income year in which the franking debit arise s .
9 Subsection 200 - 25(1)
Omit "the standard corporate tax rate", substitute "the entity's corporate tax rate for imputation purposes for the income year in which the distribution is made".
10 Section 202 - 55
Omit "the current standard corporate tax rate", substitute "the entity's corporate tax rate for imputation purposes for the income year in which the distribution is made".
11 Subsection 202 - 60(2) (formula)
Repeal the formula, substitute:
12 At the end of subsection 202 - 60(2)
Add:
where:
"applicable gross-up rate" means the * corporate tax gross - up rate of the entity making the distribution for the income year in which the distribution is made.
13 Subsection 203 - 50(2) (formula)
Repeal the formula, substitute:
14 Subsection 203 - 50(2)
Insert:
"applicable gross-up rate" means the * corporate tax gross - up rate of the entity making the distribution for the income year in which the distribution is made.
15 Subsection 215 - 20(2) (formula)
Repeal the formula, substitute:
16 At the end of subsection 215 - 20(2)
Add:
where:
"applicable gross-up rate" means the * corporate tax gross - up rate of the entity making the distribution for the income year in which the distribution is made.
17 Subsection 705 - 90(3) (formula)
Repeal the formula, substitute:
18 At the end of subsection 705 - 90(3)
Add:
where:
"applicable gross-up rate" means the joining entity's * corporate tax gross - up rate for the income year that ends, or, if section 701 - 30 applies, for the income year that is taken by subsection ( 3) of that section to end, at the joining time.
19 Paragraph 707 - 310(3A)(c) (formula)
Repeal the formula, substitute:
20 Section 976 - 1 (formula)
Repeal the formula, substitute:
21 At the end of section 976 - 1
Add:
where:
"applicable gross-up rate" means the * corporate tax gross - up rate of the entity making the distribution for the income year in which the distribution is made.
22 Section 976 - 10 (formula)
Repeal the formula, substitute:
23 At the end of section 976 - 10
Add:
where:
"applicable gross-up rate" means the * corporate tax gross - up rate of the entity making the distribution for the income year in which the distribution is made.
24 Section 976 - 15 (formula)
Repeal the formula, substitute:
25 At the end of section 976 - 15
Add:
where:
"applicable gross-up rate" means the * corporate tax gross - up rate of the entity making the distribution for the income year in which the distribution is made.
26 Subsection 995 - 1(1) (definition of corporate tax gross - up rate )
Repeal the definition, substitute:
"corporate tax gross-up rate" , of an entity for an income year, means the amount worked out using the following formula:
27 Subsection 995 - 1(1) (definition of corporate tax rate )
Repeal the definition, substitute:
"corporate tax rate" :
(a) in relation to a company to which paragraph 23(2)(a) of the Income Tax Rates Act 1986 applies--means the rate of tax in respect of the taxable income of a company covered by that paragraph; or
(b) in relation to another entity--means the rate of tax in respect of the taxable income of a company covered by paragraph 23(2)(b) of that Act.
28 Subsection 995 - 1(1)
Insert:
"corporate tax rate for imputation purposes" , of an entity for an income year, means:
(a) unless paragraph ( b) applies--the entity's * corporate tax rate for the income year, worked out on the assumption that the entity's * aggregated turnover for the income year is equal to its aggregated turnover for the previous income year; or
(b) if the entity did not exist in the previous income year--the rate of tax in respect of the taxable income of a company covered by paragraph 23(2)(a) of the Income Tax Rates Act 1986 .
29 Subsection 995 - 1(1) (definition of standard corporate tax rate )
Repeal the definition.
Part 3 -- Application of amendments
The amendments made by Part 1 of this Schedule apply to the 2016 - 17 income year and later income years.