Commonwealth Consolidated Acts Commonwealth Consolidated ActsThis Subdivision sets out the thin capitalisation rules that apply to an entity that is an outward investing financial entity (non - ADI) for all of an income year. 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.
Table of sections
Operative provisions
820 - 85 Thin capitalisation rule for outward investing financial entities (non - ADI)
820 - 90 Maximum allowable debt
820 - 100 Safe harbour debt amount--outward investing financial entity (non - ADI)
820 - 110 Worldwide gearing debt amount--outward investor that is not also an inward investment vehicle
820 - 111 Worldwide gearing debt amount--outward investor that is also an inward investment vehicle
820 - 115 Amount of debt deduction disallowed
820 - 120 Application to part year periods