Document ID: chunk:federal_register_of_legislation:C2025C00180:clause:1_4:p5
Version: federal_register_of_legislation:C2025C00180
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 5/22)
Character Range: 875094–877833

45‑Q

45‑700  What this Subdivision is about

      This Subdivision allows the members of a consolidated group to be treated as a single entity for the purposes of Pay as you go (PAYG) instalments. Generally, the head company of the group is the entity liable to pay PAYG instalments.
      The PAYG instalments provisions in this Part apply to the head company in much the same way as they apply to any other company. However, the operation of some of these provisions is modified by this Subdivision.
      This Subdivision also contains special rules to deal with changes in the membership of the group.
Note 1: Subdivision 45‑R contains special rules that apply to members of a consolidated group before they are treated as a single entity for the purposes of this Part. It also contains special rules that affect the operation of this Subdivision (see sections 45‑880 and 45‑885).
Note 2: Subdivision 45‑S extends the operation of this Subdivision so that it can apply to members of a MEC group. It contains modifications of this Subdivision for the purposes of that extended operation.

Table of sections

Application of Subdivision
45‑703 Effect of this Subdivision and Subdivision 45‑R in relation to monthly payers
45‑705 Application of Subdivision to head company

Usual operation of this Part for consolidated group members
45‑710 Single entity rule
45‑715 When instalments are due—modification of section 45‑61
45‑720 Head company cannot be an annual payer—modification of section 45‑140

Membership changes
45‑740 Change of head company
45‑755 Entry rule (for an entity that becomes a subsidiary member of a consolidated group)
45‑760 Exit rule (for an entity that ceases to be a subsidiary member of a consolidated group)
45‑775 Commissioner's power to work out different instalment rate or GDP‑adjusted notional tax

Application of Subdivision

45‑703  Effect of this Subdivision and Subdivision 45‑R in relation to monthly payers
 (1) If:
 (a) a company is the *head company of a *consolidated group; and
 (b) the company is a *monthly payer;
this Subdivision and Subdivision 45‑R have effect in relation to the company as the head company of the group in respect of an *instalment month in the same way in which they have effect in relation to a company that is a *quarterly payer as the head company of a consolidated group in respect of an *instalment quarter.
 (2) If:
 (a) an entity is a *subsidiary member of a *consolidated group; and
 (b) the entity is a *monthly payer;
this Subdivision and Subdivision 45‑R have effect in relation to the entity in respect of an *instalment month in the same way in which they have effect in relation to an entity that is a *quarterly payer in respect of an *instalment quarter.