Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 715.370

  (1)   This section applies if:

  (a)   an entity (the joining entity ) becomes a * subsidiary member of a * consolidated group at a time (the joining time ); and

  (b)   taking into account the operation of subsection   701 - 1(1) (the single entity rule), the * head company of the group held an asset at the joining time because the joining entity became a subsidiary member of the group; and

  (c)   the asset is a reset cost base asset at the joining time (within the meaning of section   705 - 35); and

  (d)   in working out the asset's * tax cost setting amount, the currency exchange rate of a particular * foreign currency is taken into account in determining the * market value of the asset.

  (2)   For the purposes of Division   775, determine the extent of any * currency exchange rate effect after the joining time in relation to the asset, by reference to the currency exchange rate for the * foreign currency at the joining time.

Table of sections

715 - 375   Cost setting on joining--amount of liability that is Division   230 financial arrangement

715 - 378   Cost setting on joining--head company's right to receive or obligation to provide payment

715 - 379   Cost setting on leaving--amount of intragroup liability that is Division   230 financial arrangement

715 - 379A   Cost setting on leaving--head company's or leaving entity's right to receive or obligation to provide payment

715 - 380   Exit history rule not to affect certain matters related to Division   230 financial arrangements

715 - 385   Exit history rule and elective methods applying to Division   230 financial arrangements