Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p9
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 9/21)
Character Range: 370519–373148

its 2001‑02 franking year (as defined in that Part) ended earlier:
 (a) a class C exempting credit equal to the deficit is taken to have arisen at the end of 30 June 2002 for the purposes of that Part; and
 (b) an exempting debit of the amount worked out using the formula is taken to have arisen at the start of 1 July 2002 in the exempting account that the company has under section 208‑110 of the Income Tax Assessment Act 1997:

Note: If the company's 2001‑02 franking year ended at the end of 30 June 2002 and it would have had a class C exempting deficit at that time apart from former section 160AQCNO of the Income Tax Assessment Act 1936, that section will have eliminated the deficit and either:
(a) increased the company's liability for franking deficit tax; or
(b) reduced the franking credit arising under section 205‑10 of this Act in the franking account the company has under the Income Tax Assessment Act 1997.

Division 210—Venture capital franking

Table of sections
210‑1 Order of events provision
210‑5 Washing estimated venture capital debits out of the old sub‑account before conversion
210‑10 Converting the venture capital sub‑account balance to a tax paid basis—PDFs whose 2001‑02 franking year ends on 30 June 2002
210‑15 Converting the venture capital sub‑account balance to a tax paid basis—PDFs whose 2001‑02 franking year ends before 30 June 2002

210‑1  Order of events provision
  The venture capital sub‑account of a PDF under former Part IIIAA of the Income Tax Assessment Act 1936 (the old sub‑account) is closed off at the end of 30 June 2002 and an opening balance is created in the PDF's venture capital sub‑account under section 210‑100 of the Income Tax Assessment Act 1997 as follows:
 (a) any estimated venture capital debits in the old sub‑account at the end of 30 June 2002 are washed out of the account under section 210‑5; and
 (b) then:
 (i) in the case of a PDF whose 2001‑02 franking year ends on 30 June 2002 under former Part IIIAA of the Income Tax Assessment Act 1936—the PDF's venture capital sub‑account balance is converted under section 210‑10 to a tax paid basis; and
 (ii) in the case of a PDF whose 2001‑02 franking year ends before 30 June 2002 under former Part IIIAA of the Income Tax Assessment Act 1936—the PDF's venture capital sub‑account balance is converted under section 210‑15 to a tax paid basis.

210‑5  Washing estimated venture capital debits out of the old sub‑account before conversion
  If, under former Part IIIAA of the Income Tax Assessment act 1936, the termination time in relation to an estimated venture capital debit of a PDF would, but for