Document ID: chunk:federal_register_of_legislation:C2025C00029:section:9:p11
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 9 (pt 11/19)
Character Range: 7054888–7057523

(1), assume that:
 (a) the entity chooses to deduct, under subsection 36‑17(2) or (3), all of the entity's tax losses for *loss years occurring before the income year; and
 (b) subsection 36‑17(5) does not apply to that choice.

Franked distributions
 (2) For the purposes of this section, disregard Division 207, to the extent that Division results in an amount of, or a *share of, a *franking credit being included in the entity's assessable income for the income year.

Dividends etc.
 (3) In working out the taxable income or *tax loss of an entity for the purposes of subsection (1), disregard any *dividend or *non‑share dividend paid to the entity by an *associate entity and included in the entity's assessable income under section 44 of the Income Tax Assessment Act 1936.

Trusts other than AMITs
 (4) If the entity is a trust other than an *AMIT:
 (a) treat the reference in subsection (1) to the entity's taxable income as being a reference to the *net income of the entity; and
 (b) treat the reference in subsection (1) to the entity's *net debt deductions as being a reference to the entity's net debt deductions taken into account in working out that net income; and
 (c) treat the reference in subsection (1) to the entity's deductions as being a reference to the entity's deductions taken into account in working out that net income; and
 (d) treat the references in subsection (1) to the entity's assessable income as being a reference to the entity's assessable income taken into account in working out that net income.
 (5) To avoid doubt, for the purposes of references in subsection (4) to net income, do not make the assumption in subsection 102UX(3) of the Income Tax Assessment Act 1936.

Beneficiaries of trusts other than AMITs
 (6) In working out the taxable income or *tax loss of an entity for the purposes of subsection (1), if the entity is a beneficiary of a trust other than an *AMIT, and is an *associate entity of the trust:
 (a) disregard the operation of the following provisions in relation to the trust:
 (i) Subdivision 115‑C;
 (ii) Division 6 of Part III of the Income Tax Assessment Act 1936; and
 (b) disregard distributions from the trust to the entity.

Attribution managed investment trusts
 (6A) If the entity is an *AMIT:
 (a) treat the reference in subsection (1) to the entity's taxable income as being a reference to the *net income of the entity; and
 (b) treat the reference in subsection (1) to the entity's *net debt deductions as being a reference to the entity's net debt deductions taken into account in working out that net income; and
 (c) treat the reference in subsection