Document ID: chunk:federal_register_of_legislation:C2010C00673:body:0:p28
Version: federal_register_of_legislation:C2010C00673
Segment Type: other
Provision Reference: 
Character Range: 67183–69982

included in the shareholder's assessable income of
the year of income.".
  11. Subsection 46(7A):
Insert "or (2A)" after "(2)" (wherever occurring).
  12. Paragraph 46(7A)(a):
Insert "(other than PDF dividends)" after "dividends" (wherever
occurring).
  13. Subsection 46(7A):
Add at the end:
  "; and (c) a reference in this section to the part of any PDF
dividends that is included in the shareholder's taxable income
is to be read as a reference to the part of any PDF dividends
that would have been included in the shareholder's taxable
income if the option had been exercised in such a way that the
value of the article that would have been taken into account at
the end of the year of income would have been the lowest amount
at which the value of that article could have been taken into
account at that time in accordance with subsection 31(1).".
  14. Subsection 46A(1):
Insert:
  "'PDF dividend' means a dividend paid to a shareholder that
is a PDF;
  'SME income component' has the same meaning as in Subdivision
B of Division 10E.".
  15. After subsection 46A(1):
Insert:
  "(1AA) This section does not apply to a PDF dividend if the
dividend is paid in respect of an unregulated investment
(within the meaning of the Pooled Development Funds Act
1992).".
  16. Subsection 46A(5):
Insert "(other than PDF dividends)" after "dividends" (wherever
occurring).
  17. After subsection 46A(5):
Insert:
  "(5A) Subject to this section, if:
  (a) one or more PDF dividends were paid in a year of income
to a shareholder; and
  (b) the shareholder is a resident;
the shareholder is entitled to a rebate in its assessment in
respect of income of the year of income.  The amount of the
rebate is obtained by applying the rate of tax payable by the
shareholder in respect of the SME income component of its
taxable income to the net income derived from PDF dividends by
the shareholder.".
  18. After subsection 46A(9):
Insert:
  "(9A) For the purposes of subsection (5A), the net income
derived from PDF dividends by a shareholder is the amount
remaining after deducting from the amount of the PDF dividends
included in the assessable income of the shareholder of the
year of income the deductions allowed or allowable to the
shareholder under this Act in respect of those dividends.".
  19. Subsection 46A(10):
Omit "subsection (9)", substitute "subsections (9) and (9A)".
  20. Subsection 46A(10):
Omit "in respect of the dividends", substitute "in respect of
particular dividends".
  21. Heading to Division 10E of Part III:
Omit "Shares in PDFs", substitute "PDFs (pooled development
funds)".
  22. Before section 124ZM:
Insert the following heading:
               "Subdivision A - Shares in PDFs".
  23. After section 124ZR:
Insert the following Subdivisions:
   "Subdivision B - Components of