Document ID: chunk:federal_register_of_legislation:C2025C00014:section:47a:p3
Version: federal_register_of_legislation:C2025C00014
Segment Type: section
Provision Reference: s 47A (pt 3/13)
Character Range: 305030–307659

loan to another entity (in this subsection called the recipient), where:
 (a) the parties to the loan are not at arm's length with each other in relation to the loan; or
 (b) the purpose, or one of the purposes, of the making of the loan was to facilitate, directly or indirectly (through one or more interposed companies, partnerships or trusts), the payment of a dividend that is, or would be, non‑assessable non‑exempt income under section 768‑5 of the Income Tax Assessment Act 1997 (in whole or in part); or
 (c) the purpose, or one of the purposes, of the making of the loan was to facilitate, directly or indirectly, the provision of an eligible benefit by the recipient, being an eligible benefit that is a distribution benefit in relation to any company;
the following provisions have effect:
 (d) the making of the loan is taken to constitute an eligible benefit provided by the provider to the recipient at that time;
 (e) if the eligible benefit is a distribution benefit in relation to the first company—each of the following times is a distribution time for the eligible benefit:
 (i) if the benefit was provided by the first company—the time of the provision of the benefit; or
 (ii) in any other case—the time, or each of the times, of the arrangement transfers concerned;
 (f) if the eligible benefit is a distribution benefit in relation to the first company—the distribution payment in relation to the distribution time is:
 (i) if the benefit was provided by the first company—the amount of the loan; or
 (ii) in any other case—so much of the amount or market value of the arrangement transfer as is attributable to the provision of the eligible benefit.
 (8) Where, at a particular time:
 (a) an entity (in this subsection called the provider) acquires from a company (in this subsection called the recipient):
 (i) a share in the recipient;
 (ii) a right to acquire a share in the recipient;
 (iii) an option to acquire a share in the recipient; or
 (b) an entity (in this subsection also called the provider) acquires from the trustee of a unit trust (in this subsection also called the recipient):
 (i) a unit in the recipient;
 (ii) a right to acquire a unit in the recipient;
 (iii) an option to acquire a unit in the recipient;
the following provisions have effect:
 (c) the acquisition is taken to constitute an eligible benefit provided by the provider to the recipient at that time;
 (d) if the eligible benefit is a distribution benefit in relation to the first company—each of the following is a distribution time for the eligible benefit:
 (i) if the benefit was provided by the first company—the