Document ID: chunk:federal_register_of_legislation:C2010C00690:clause:1_3:p2
Version: federal_register_of_legislation:C2010C00690
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 2/9)
Character Range: 67920–70879

for retained cost base assets
705‑30 What is the joining entity's terminating value for an asset?
705‑35 Tax cost setting amount for reset cost base assets
705‑40 Reduction in tax cost setting amount for revenue assets
705‑45 Reduction in tax cost setting amount for accelerated depreciation assets
705‑50 Reduction in tax cost setting amount for over‑depreciated assets
705‑55 Order of application of sections 705‑40, 705‑45 and 705‑50

How to work out the allocable cost amount

705‑60 What is the joined group's allocable cost amount for the joining entity?
705‑65 Cost of membership interests in the joining entity—step 1 in working out allocable cost amount
705‑70 Liabilities of the joining entity—step 2 in working out allocable cost amount
705‑75 Liabilities of the joining entity—reductions for purposes of step 2 in working out allocable cost amount
705‑80 Liabilities of the joining entity—reductions/increases for purposes of step 2 in working out allocable cost amount
705‑85 Liabilities of the joining entity—increases for purposes of step 2 in working out allocable cost amount
705‑90 Undistributed, frankable profits accruing to joined group before joining time—step 3 in working out allocable cost amount
705‑95 Pre‑joining time distributions out of certain profits—step 4 in working out allocable cost amount
705‑100 Losses accruing to joined group before joining time—step 5 in working out allocable cost amount
705‑105 Continuity of holding membership interests—steps 3 to 5 in working out allocable cost amount
705‑110 If joining entity transfers a loss to the head company—step 6 in working out allocable cost amount
705‑115 If head company becomes entitled to certain deductions—step 7 in working out allocable cost amount

Preservation of application of Subdivision 165‑CC (about unrealised losses)

705‑120 Preservation of application of Subdivision 165‑CC (about unrealised losses)

How to work out a pre‑CGT factor for assets of joining entity

705‑125 Pre‑CGT factor for assets of joining entity

[This is the end of the Guide.]

Application and object

705‑10  Application and object of this Subdivision

Application

 (1) This Subdivision has effect, subject to section 705‑15, for the head company core purposes set out in subsection 701‑1(2) if an entity (the joining entity) becomes a *subsidiary member of a *consolidated group (the joined group) at a particular time (the joining time).

Object

 (2) The object of this Subdivision is to recognise the *head company's cost of becoming the holder of the joining entity's assets as an amount reflecting the group's cost of acquiring the entity. That amount consists of the cost of the group's *membership interests in the joining entity, increased by the joining entity's liabilities and adjusted to take account of the joining entity's retained profits, distributions of profits, deductions and losses.

 (3) The reason for recognising the *head company's cost in this