Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p52
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 52/55)
Character Range: 3926578–3929465

(the leaving time); and
 (d) immediately after the leaving time, the head company no longer has the arrangement because the subsidiary member ceased to be a member of the group.
 (4) The gain or loss the group makes from the *financial arrangement for the income year in which the leaving time occurs is taken to be the gain or loss that the standard referred to in paragraph 230‑265(1)(c) would require the group to recognise in profit or loss in relation to the arrangement for that income year if:
 (a) the circumstances that existed in relation to the arrangement (including its value) immediately before the leaving time had continued to exist until the end of the income year; and
 (b) any circumstances that arise in relation to the arrangement after the leaving time were disregarded.

230‑285  When election ceases to apply

General election
 (1) A *foreign exchange retranslation election under subsection 230‑255(1) ceases to have effect from the start of an income year if you cease to be eligible under subsection 230‑255(2) to make a foreign exchange retranslation election under subsection 230‑255(1) for that income year.
 (2) Subsection (1) does not prevent you from making a new *foreign exchange retranslation election at a later time if you become, at that later time, eligible under subsection 230‑255(2), to make a foreign exchange retranslation election under subsection 230‑255(1) for that income year.
Note: The new election will only apply to financial arrangements you start to have after the start of the income year in which the new election is made.
 (3) A *foreign exchange retranslation election under subsection 230‑255(1) ceases to apply to a *financial arrangement from the start of an income year if the arrangement ceases to satisfy a requirement of paragraph 230‑265(1)(b) or (c) during that income year.
 (4) If the election ceases to apply to a particular *financial arrangement under subsection (3), the election cannot subsequently reapply to that arrangement (even if the requirements of paragraphs 230‑265(1)(b) and (c) are satisfied once more in relation to the arrangement).

Election in relation to qualifying forex accounts
 (5) A *foreign exchange retranslation election under subsection 230‑255(3) ceases to apply to a *financial arrangement from the start of an income year if the arrangement ceases to satisfy a requirement of subsection 230‑255(3) during that income year.
 (6) If the election ceases to apply to a particular *financial arrangement under subsection (5), the election cannot subsequently reapply to that arrangement (even if the requirements of subsection 230‑255(3) are satisfied once more in relation to the arrangement).

230‑290  Balancing adjustment if election ceases to apply
 (1) You must make balancing adjustments under subsection (2) if a *foreign exchange retranslation election ceases to have effect under