Document ID: chunk:federal_register_of_legislation:C2010C00622:clause:10_15:p1
Version: federal_register_of_legislation:C2010C00622
Segment Type: clause
Provision Reference: sch 10 cl 15 (pt 1/5)
Character Range: 72716–75504

15  After Division 175
Insert:

Division 180—Information about family trusts with interests in companies

Table of Subdivisions

 Guide to Division 180
180‑A Information relevant to Division 165
180‑B Information relevant to Division 175

Guide to Division 180

180‑1  What this Division is about

      If a company would only avoid the tax consequences of Division 165 or 175 because of interests held by a non‑resident family trust, the Commissioner may require the company to give certain information about the non‑resident family trust. If it is not given, the company does not avoid the tax consequences of that Division.

Subdivision 180‑A—Information relevant to Division 165

Table of sections

180‑5 Information about family trusts with interests in companies
180‑10 Notice where requirements of section 180‑5 are met

180‑5  Information about family trusts with interests in companies

Notice about company

 (1) The Commissioner may give a company a notice in accordance with section 180‑10 if the requirements of this section are met.

Tax detriment under Division 165

 (2) In its return of income for an income year:
 (a) the company must have deducted a *tax loss from a *loss year where it would not be allowed to deduct the tax loss if it did not meet the conditions in section 165‑12; or
 (b) the company must not have calculated:
 (i) its taxable income and tax loss under Subdivision 165‑B; and
 (ii) its *net capital gain and *net capital loss under Subdivision 165‑CB;
  where it would have been required to calculate them under that Subdivision if it did not satisfy the requirements of paragraph 165‑35(a); or
 (c) the company must have applied a *net capital loss from an earlier income year in working out its net capital gain or *net capital loss where it would not have been allowed to apply the loss if it did not meet the condition in section 165‑12 as applied on the assumption mentioned in subsection 165‑96(1); or
 (d) the company must have deducted a debt that it wrote off as bad in the income year where it would not be allowed to deduct the debt if it did not satisfy the requirements of paragraph 165‑120(1)(a) or (b).

Role of family trust

 (3) The Commissioner must be satisfied that the company:
 (a) if paragraph (2)(a) applies—meets the conditions in section 165‑12; or
 (b) if paragraph (2)(b) applies—satisfies the requirements of paragraph 165‑35(a); or
 (c) if paragraph (2)(c) applies—meets the conditions in section 165‑12 as applied on the assumption mentioned in subsection 165‑96(1); or
 (d) if paragraph (2)(d) applies—satisfies the requirements of paragraph 165‑120(1)(a) or (b);
but it would not do so unless one or more trusts were *family trusts.

Non‑resident trust

 (4) When the Commissioner gives the notice, for at