This Subdivision sets out the thin capitalisation rules that apply to a foreign entity or a foreign controlled Australian entity that is not an authorised deposit - taking institution (an ADI ). These rules deal with the following matters:
• how to work out the entity's maximum allowable debt for an income year;
• how all or a part of the debt deductions claimed by the entity may be disallowed if the maximum allowable debt is exceeded;
• how to apply these rules to a period that is less than an income year.
820 - 185 Thin capitalisation rule for inward investing entities (non - ADI)
820 - 190 Maximum allowable debt
820 - 195 Safe harbour debt amount--inward investment vehicle (general)
820 - 200 Safe harbour debt amount--inward investment vehicle (financial)
820 - 205 Safe harbour debt amount--inward investor (general)
820 - 210 Safe harbour debt amount--inward investor (financial)
820 - 215 Arm's length debt amount
820 - 216 Worldwide gearing debt amount--inward investment vehicle (general)
820 - 217 Worldwide gearing debt amount--inward investment vehicle (financial)
820 - 218 Worldwide gearing debt amount--inward investor (general)
820 - 219 Worldwide gearing debt amount--inward investor (financial)
820 - 220 Amount of debt deduction disallowed
820 - 225 Application to part year periods