Document ID: chunk:federal_register_of_legislation:C2010C00603:clause:1_4:p2
Version: federal_register_of_legislation:C2010C00603
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 2/2)
Character Range: 54222–55879

becoming able to make the choice because the entity became a *subsidiary member of the group at the joining time, the choice starts to have effect:
 (a) at the joining time; or
 (b) if the choice relates (explicitly or implicitly) to one or more whole income years—for the income year in which the joining time occurs.

Note: Subsection (5) has effect whether or not subsection (4) contributed to the head company becoming able to make the choice.

Relationship with other provisions

 (6) Section 701‑5 (Entry history rule) and the choice provision have effect subject to this section.

Choices head company can make ignoring entry history rule to override inconsistencies

715‑665  Head company's choice to override inconsistency

Application

 (1) This section has effect if:
 (a) an entity (the joining entity) becomes a *subsidiary member of a *consolidated group at a time (the joining time); and
 (b) for each of the following entities, the question whether the entity had made a choice (however described) under a provision (the choice provision) listed in the table was relevant to working out the entity's liability (if any) for income tax, or the entity's loss (if any) of a particular *sort, calculated by reference to an income year starting before the joining time:
 (i) the joining entity;
 (ii) another entity that was a *member of the group at the joining time; and
 (c) there was an inconsistency because, just before the joining time, such a choice had effect for one of the entities but not for the other.

List
Item  Provision                                                                                       Subject of provision