19Derivation period must reflect typical income

19 Derivation period must reflect typical income

(1) This section applies to the determination of a specified period as the derivation period of a specified company or trust in relation to an attributable stakeholder of the company or trust.

(2) The derivation period must be a period that is determined having regard to the following matters:

(a) the ordinary income of the company or trust for a derivation period referred to in subsection 52ZZP(1) of the Act;

(b) the ordinary income of the company or trust for any other period or periods that may reasonably be regarded as typical earning periods for the company or trust;

(c) any circumstances affecting the company or trust during the periods referred to in paragraphs (a) and (b);

(d) whether, having regard to any circumstances referred to in paragraph (c), it is appropriate to use a derivation period different from the derivation period referred to in subsection 52ZZP(1) of the Act.