Document ID: chunk:federal_register_of_legislation:C2010C00617:clause:3_160ate
Version: federal_register_of_legislation:C2010C00617
Segment Type: clause
Provision Reference: sch 3 cl 160ATE
Character Range: 49426–50681

160ATE  Provisions relating to companies that cease to be life assurance companies

Conversion of class A franking surplus

 (1) If:
 (a) a company is a life assurance company on 1 July 2000; and
 (b) at a particular time (the transition time) after 1 July 2000, the company ceases to be a life assurance company (other than by ceasing to be a company); and
 (c) at the transition time the company has a class A franking surplus;
then, immediately after the transition time:
 (d) a class A franking debit of the company equal to that class A franking surplus arises; and
 (e) a class C franking credit of the company also arises that is worked out using the formula:

Conversion of class A franking deficit

 (2) If:
 (a) a company is a life assurance company on 1 July 2000; and
 (b) at a particular time (the transition time) after 1 July 2000, the company ceases to be a life assurance company (other than by ceasing to be a company); and
 (c) at the transition time the company has a class A franking deficit;
then, immediately after the transition time:
 (d) a class A franking credit of the company arises equal to that class A franking deficit; and
 (e) a class C franking debit of the company also arises that is worked out using the formula: