Document ID: chunk:federal_register_of_legislation:C2010C00583:clause:10_24:p1
Version: federal_register_of_legislation:C2010C00583
Segment Type: clause
Provision Reference: sch 10 cl 24 (pt 1/3)
Character Range: 93257–95923

24  At the end of Part 3‑6
Add:

Division 220—Imputation for NZ resident companies and related companies

Table of sections

220‑1 Application to things happening on or after 1 April 2003
220‑5 Residency requirement for income year including 1 April 2003
220‑10 NZ franking company cannot frank before 1 October 2003
220‑35 Extended time to make NZ franking choice
220‑501 Franking and exempting accounts of new former exempting entities

220‑1  Application to things happening on or after 1 April 2003

  The following apply in relation to things happening on or after 1 April 2003, subject to this Division:
 (a) Division 220 of the Income Tax Assessment Act 1997;
 (b) the amendments of that Act made by Division 1 of Part 2 of Schedule 10 to the Taxation Laws Amendment Act (No. 6) 2003 relating to Division 220 of the Income Tax Assessment Act 1997.

220‑5  Residency requirement for income year including 1 April 2003

  In determining whether an NZ franking company meets the residency requirement for the income year including 1 April 2003 regard may be had to things that happened in relation to the company before 1 April 2003.

220‑10  NZ franking company cannot frank before 1 October 2003

  An NZ franking company cannot:
 (a) frank a distribution made before 1 October 2003; or
 (b) frank with an exempting credit a distribution made before 1 October 2003.

[The next section is section 220‑35.]

220‑35  Extended time to make NZ franking choice

 (1) A company that is an NZ resident may make an NZ franking choice that comes into force at the start of the company's income year including 1 April 2003 by giving notice in the approved form to the Commissioner before the end of the next income year.

 (2) Subsection (1) has effect despite paragraph 220‑40(1)(a) of the Income Tax Assessment Act 1997.

[The next section is section 220‑501.]

220‑501  Franking and exempting accounts of new former exempting entities

 (1) This section has effect if:
 (a) a company (the Australian company) that is an Australian resident becomes a former exempting entity at a time (the switch time) because of:
 (i) an NZ franking choice by a company (the NZ company); and
 (ii) Division 220 of the Income Tax Assessment Act 1997; and
 (b) the NZ franking choice comes into force at the start of the NZ company's income year including 1 April 2003; and
 (c) at the switch time there is a franking surplus in the Australian company's franking account; and
 (d) at the switch time the Australian company is a 100% subsidiary of a company (the NZ parent company) that:
 (i) is not a 100% subsidiary of another company that is a member of the same wholly‑owned