12A‑205 Issue of AMMA statement etc. dee12A‑205 Issue of AMMA statement etc. deemed to be payment

#### 12A‑205 Issue of AMMA statement etc. deemed to be payment (1) This section applies if: (a) an entity (the first recipient) is or was a \*member of a \*withholding MIT in respect of an income year; and (b) the withholding MIT is an \*AMIT for the income year; and (c) the AMIT gives the first recipient an \*AMMA statement for the income year. (2) For the purposes of this Part, Subdivision 840‑M of the Income Tax Assessment Act 1997 and Division 11A of Part III of the Income Tax Assessment Act 1936: (a) treat the trustee of the \*AMIT as having made a payment (the first deemed payment) of an amount to the first recipient at the time the AMIT gave the first recipient the \*AMMA statement; and (b) treat the amount of the first deemed payment as being the amount worked out as follows: (i) first, work out the total of all the \*determined member components of all the \*members of the AMIT of a character relating to assessable income for the income year; (ii) next, identify each of the \*pre‑AMMA actual payments (if any) made to those members in respect of all payments by the trustee to those members that arise from the operation of paragraph (a); (iii) next, identify every \*AMIT DIR payment (if any) and each \*fund payment (if any) that arises from each such pre‑AMMA actual payment; (iv) next, reduce the result of subparagraph (i) by the sum of each such AMIT DIR payment and fund payment; (v) next, work out how much of the result of subparagraph (iv) is referable to the first recipient. (3) Also, for the purposes of Division 11A of Part III of the Income Tax Assessment Act 1936, treat the first recipient as having derived the first deemed payment just before the end of the income year to which the \*AMMA statement relates. (4) Subsection (5) applies if: (a) the first recipient is a \*custodian; and (b) another entity (the subsequent recipient): (i) starts to have, at a time, an entitlement to an amount that is reasonably attributable to all or part of the first deemed payment; or (ii) would start to have, at a time, such an entitlement if the first deemed payment were an actual payment of an amount. (5) For the purposes of this Part, Subdivision 840‑M of the Income Tax Assessment Act 1997 and Division 11A of Part III of the Income Tax Assessment Act 1936: (a) treat the first recipient as having made a payment (the subsequent deemed payment) of an amount to the subsequent recipient at that time; and (b) treat the amount of the subsequent deemed payment as being the amount of the entitlement mentioned in subparagraph (4)(b)(i) or (ii); and (c) treat the amount of the subsequent deemed payment as being attributable to the first deemed payment. (6) Also, for the purposes of Division 11A of Part III of the Income Tax Assessment Act 1936, treat the subsequent recipient as having derived the subsequent deemed payment at the time the subsequent deemed payment arises. (7) If: (a) an entity is a subsequent recipient mentioned in subsection (4) (including as a result of a previous operation of this subsection); and (b) subsection (5) applies with the result that a payment is treated as having been made to the entity; and (c) the entity is a \*custodian; apply subsections (4), (5) and (6) again as if the entity were the first recipient mentioned in subsection (4). > Note: This means that the entity is treated under subsection (5) as having made a payment to another entity if the other entity has (or would have) an entitlement as mentioned in paragraph (4)(b).