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Short title
1 Short title
This Act may be cited as the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.
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Commonwealth act
This Act makes a company that was a member of a wholly‑owned group immediately before a change in direct or indirect beneficial ownership liable for a specific tax. The tax equals the lesser of (a) the former subsidiary's outstanding income tax (including specified interest and historic penalties) and (b) the income tax that would be payable if the amount included under sections 45‑15 or 45‑20 were treated as the subsidiary's taxable income with no tax offsets; payments by other former group members reduce that amount.
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Direct links to the current provisions in New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.
This Act may be cited as the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.
This Act commences on the day on which it receives the Royal Assent.
This section imposes a tax that is payable under section 45‑25 of the Income Tax Assessment Act 1997 by a company that was a member of the wholly‑owned group referred to in that section just before the time when the direct or indirect beneficial ownership referred to in paragraph 45‑15(1)(f) or 45‑20(1)(f) of that Act was acquired.
(1) The amount of the tax is an amount worked out under subsection (2) as if it were an amount of income tax payable by the company referred to in section 3. (2) The amount referred to in subsection (1) is the lesser of: (a) the outstanding amount of income tax payable by the former subsidiary referred to in section 45‑25 of the Income Tax Assessment Act 1997 (including any amount of general interest charge, or any amount of interest or penalty payable under former section 170AA, 207 or 207A of the Income Tax Assessment Act 1936, attributable to that amount); and (b) the amount of income tax that would be payable by the former subsidiary for the income year in which the amount was included in its assessable income because of section 45‑15 or 45‑20 of that Act if: (i) that amount were its taxable income for the income year; and (ii) it was not entitled to any tax offset for the income year; including any amount of general interest charge, or any amount of interest or penalty payable under former section 170AA, 207 or 207A of the Income Tax Assessment Act 1936, that would be attributable to that amount. (3) The amount referred to in paragraph (2)(b) is reduced by any amount paid by a company (except the former subsidiary) that was a member of the former subsidiary’s former wholly‑owned group.
Sourced from the Federal Register of Legislation (legislation.gov.au), CC BY 4.0.
This Act may be cited as the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.
This Act commences on the day on which it receives the Royal Assent.
This section imposes a tax that is payable under section 45‑25 of the Income Tax Assessment Act 1997 by a company that was a member of the wholly‑owned group referred to in that section just before the time when the direct or indirect beneficial ownership referred to in paragraph 45‑15(1)(f) or 45‑20(1)(f) of that Act was acquired.
(1) The amount of the tax is an amount worked out under subsection (2) as if it were an amount of income tax payable by the company referred to in section 3. (2) The amount referred to in subsection (1) is the lesser of: (a) the outstanding amount of income tax payable by the former subsidiary referred to in section 45‑25 of the Income Tax Assessment Act 1997 (including any amount of general interest charge, or any amount of interest or penalty payable under former section 170AA, 207 or 207A of the Income Tax Assessment Act 1936, attributable to that amount); and (b) the amount of income tax that would be payable by the former subsidiary for the income year in which the amount was included in its assessable income because of section 45‑15 or 45‑20 of that Act if: (i) that amount were its taxable income for the income year; and (ii) it was not entitled to any tax offset for the income year; including any amount of general interest charge, or any amount of interest or penalty payable under former section 170AA, 207 or 207A of the Income Tax Assessment Act 1936, that would be attributable to that amount. (3) The amount referred to in paragraph (2)(b) is reduced by any amount paid by a company (except the former subsidiary) that was a member of the former subsidiary’s former wholly‑owned group.