Document ID: chunk:federal_register_of_legislation:C2010C00690:clause:4_1:p5
Version: federal_register_of_legislation:C2010C00690
Segment Type: clause
Provision Reference: sch 4 cl 1 (pt 5/8)
Character Range: 302699–305383

end of the Guide.]

Operative provisions

45‑855  Section 701‑1 disregarded for certain purposes

  If:
 (a) an amount is required to be worked out for the purpose of determining the *instalment income of an entity that is a *member of a *consolidated group for a period that is all or a part of a *consolidation transitional year for the entity; and
 (b) the period ends before Subdivision 45‑Q starts to apply to the *head company of the group;
that amount must be worked out without regard to any application of section 701‑1 of the Income Tax Assessment Act 1997 to the entity in relation to the period.

45‑860  Member having a different instalment period

Different instalment period—instalment quarter

 (1) If:
 (a) but for Subdivision 45‑Q, a *subsidiary member of a *consolidated group would be liable to pay an instalment for an *instalment quarter of the subsidiary member during which Subdivision 45‑Q starts to apply to the *head company of the group; and
 (b) that quarter ends before the end of the instalment quarter of the head company during which that Subdivision starts to apply to the head company;
then, despite section 45‑710, the subsidiary member is liable to pay an instalment for that quarter.

Different instalment period—income year

 (2) If:
 (a) but for Subdivision 45‑Q, a *subsidiary member of a *consolidated group would be liable to pay an annual instalment for an income year of the subsidiary member during which Subdivision 45‑Q starts to apply to the *head company of the group; and
 (b) that year ends before the end of the income year of the head company during which that Subdivision starts to apply to the head company;
then, despite section 45‑710, the subsidiary member is liable to pay an instalment for that year.

Assumptions for working out amount of instalment

 (3) The amount of the instalment must be worked out on the following assumptions:
 (a) that the *instalment quarter or income year of the *subsidiary member (as appropriate) consists only of the period that is the part of the quarter or year occurring before Subdivision 45‑Q starts to apply to the *head company of the group;
 (b) that an amount required to be worked out for the purpose of determining the *instalment income of the subsidiary member for that period is worked out under section 45‑855.

45‑865  Credit rule

 (1) When the Commissioner:
 (a) makes an assessment of the income tax that the *head company of a *consolidated group is liable to pay for a *consolidation transitional year for the head company; or
 (b) determines that the head company does not have a taxable income for that year, or that no income tax is payable on its taxable income