Document ID: chunk:federal_register_of_legislation:C2024C00267:section:8:p46
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 8 (pt 46/48)
Character Range: 341738–344540

section 197‑65 franking debit
 (7) For the purpose of section 197‑65 of new Division 197, the tainting amount at the time of the choice to untaint is taken to consist of:
 (a) the amounts (the old Division 7B tainting amount components) that made up the old Division 7B tainting amount; and
 (b) any amounts to which new Division 197 applies that have been transferred to the company's share capital account since the introduction day and before the choice to untaint is made.
Note: In relation to amounts described in paragraph (b), section 197‑65 applies without any notional modifications.
 (8) Paragraph 197‑65(1)(b) of new Division 197 has effect in relation to each old Division 7B tainting amount component as if the following paragraph (the notionally substituted paragraph) were substituted for it:
 (b) the tax‑paid‑basis franking debit amount in relation to the old Division 7B tainting amount component is less than the amount calculated by the formula in subsection 197‑65(3) in relation to the component.
 (9) Subsection 197‑65(3) of new Division 197 has effect in relation to each old Division 7B tainting amount component as if the reference to the amount of the franking debit that arose under section 197‑45 in relation to the transferred amount were instead a reference to the tax‑paid‑basis franking debit amount in relation to the old Division 7B tainting amount component.
 (10) For the purpose of the notionally substituted paragraph, and of subsection (9) of this section, the tax‑paid‑basis franking debit amount, in relation to an old Division 7B tainting amount component, is the amount worked out in accordance with the formula:

where:
class A franking debit means the class A franking debit (if any) that arose under section 160ARDV of old Division 7B in relation to the old Division 7B tainting amount component.
class C franking debit means the class C franking debit that arose under section 160ARDQ or 160ARDV of old Division 7B in relation to the old Division 7B tainting amount component.

Part 3‑6—The imputation system

Division 201—Object and application of Part 3‑6

Table of sections
201‑1 Estimated debits

201‑1  Estimated debits
  Former Part IIIAA of the Income Tax Assessment Act 1936 does not apply to any of the following acts if it is done on or after 1 July 2002:
 (a) lodging an application with the Commissioner for a determination of an estimated debit;
 (b) lodging an application with the Commissioner for a determination of an estimated debit in substitution for an earlier determination;
 (c) a determination by the Commissioner of an estimated debit (including a determination in substitution for an earlier determination);
 (d) the service of notice of any such determination on a company;
 (e) the deemed determination of an estimated debit