Document ID: chunk:federal_register_of_legislation:C2010C00615:clause:3_77
Version: federal_register_of_legislation:C2010C00615
Segment Type: clause
Provision Reference: sch 3 cl 77
Character Range: 279101–280326

77  Subsection 160AQT(1C)
Repeal the subsection, substitute:

 (1C) If:
 (a) a shareholder in a company is a life assurance company; and
 (b) a class C franked dividend is paid by the company to the life assurance company in a year of income; and
 (c) the life assurance company is a qualified person in relation to the dividend for the purposes of Division 1A; and
 (d) the dividend is not exempt income of the life assurance company; and
 (e) the dividend was not paid as part of a dividend stripping operation; and
 (f) at any time during the period that:
 (i) starts at the beginning of the year of income of the life assurance company in which the dividend was paid; and
 (ii) ends at the time when the dividend was paid;
  the assets of the life assurance company from which the dividend was derived were both:
 (iii) included in the insurance funds of the life assurance company; and
 (iv) not held on behalf of the life assurance company's shareholders;
the assessable income of the life assurance company of the year of income includes the amount worked out using the formula:
where:

company tax rate means the applicable general company tax rate.

franked amount means the class C franked amount of the dividend.