Document ID: chunk:federal_register_of_legislation:C2013C00453:clause:1_89:p1
Version: federal_register_of_legislation:C2013C00453
Segment Type: clause
Provision Reference: sch 1 cl 89 (pt 1/2)
Character Range: 265500–268378

89  After Subdivision 715‑D
Insert:

Subdivision 715‑F—Interactions with Division 230 (financial arrangements)

Table of sections
715‑375 Cost setting—amount of liability that is Division 230 financial arrangement
715‑380 Exit history rule not to affect certain matters related to Division 230 financial arrangements
715‑385 Exit history rule and elective methods applying to Division 230 financial arrangements

715‑375  Cost setting—amount of liability that is Division 230 financial arrangement
 (1) Subsection (2) applies if:
 (a) an entity (the joining entity) becomes a *subsidiary member of a *consolidated group at a time (the joining time); and
 (b) a thing (the accounting liability) is, in accordance with *accounting standards, or statements of accounting concepts made by the Australian Accounting Standards Board, a liability of the joining entity at the joining time that can or must be recognised in the entity's statement of financial position; and
 (c) the accounting liability is or is part of a *Division 230 financial arrangement.
 (2) For the purposes of Division 230, treat the *head company of the group as starting to have the accounting liability at the joining time.
 (3) Subsection (4) applies if:
 (a) the requirements in subsection (1) are met; and
 (b) Subdivision 230‑C (fair value method), Subdivision 230‑D (foreign exchange retranslation method) or Subdivision 230‑F (reliance on financial reports method) is to apply in relation to the accounting liability after the joining time.
 (4) For as long as Subdivision 230‑C, 230‑D or 230‑F applies in relation to the accounting liability, treat the amount of the accounting liability as its *Division 230 starting value at the joining time for the purposes of those Subdivisions and Subdivision 230‑G.

715‑380  Exit history rule not to affect certain matters related to Division 230 financial arrangements

Spreading fees gain or loss
 (1) Subsection (2) applies if:
 (a) an entity (the leaving entity) ceases to be a *subsidiary member of a *consolidated group at a time (the leaving time); and
 (b) but for the cessation of membership and section 701‑40 (the exit history rule), the *head company of the group would spread a fees gain or loss mentioned in section 230‑160 over a period that ended after the leaving time.
 (2) Despite section 701‑40 (the exit history rule), the *head company of the *consolidated group continues to spread the fees gain or loss over that period, in accordance with section 230‑160.

Assessable income and deductions under section 701‑61
 (3) Subsection (4) applies if:
 (a) an entity (the leaving entity) ceases to be a *subsidiary member of a *consolidated group at a time (the leaving time); and
 (b) but for the cessation of membership and section 701‑40 (the exit history rule):
 (i) an amount would be included in the assessable income of the *head company