Document ID: chunk:federal_register_of_legislation:C2025C00014:section:450:p2
Version: federal_register_of_legislation:C2025C00014
Segment Type: section
Provision Reference: s 450 (pt 2/3)
Character Range: 2086219–2088946

of trading in either of the following tainted assets:
 (i) loans (including deposits with a bank or other financial institution);
 (ii) debenture stock, bonds, debentures, certificates of entitlement, bills of exchange, promissory notes or other securities.
 (5) For the purposes of this Part (other than subsection (7)), in determining the net gains that accrued to a company in a statutory accounting period in respect of the disposal of tainted assets, where the following conditions are satisfied in relation to the disposal of a tainted asset:
 (a) at the time of the disposal of the tainted asset, the company was an AFI subsidiary whose sole or principal business was financial intermediary business;
 (b) the disposal was made in the course of carrying on that business;
 (c) the tainted asset is covered by paragraph (4)(b);
the disposal of the tainted asset is to be disregarded.
 (6) For the purposes of this Part, the tainted services income of a company of a statutory accounting period includes income from trading in assets where the following conditions are satisfied:
 (a) at the time the income was derived, the company was an AFI subsidiary whose sole or principal business was financial intermediary business;
 (b) the assets are covered by paragraph (4)(b);
 (c) the assets were acquired from, or disposed of to, another entity where either of the following conditions are satisfied at the time of the acquisition or disposal:
 (i) the entity was a Part X Australian resident, and the acquisition or disposal was not in connection with a business carried on by the entity at or through a permanent establishment of the entity in a listed or unlisted country;
 (ii) the entity was not a Part X Australian resident, but the acquisition or disposal was in connection with a business carried on by the entity at or through a permanent establishment of the entity in Australia.
 (7) For the purposes of this Part, the tainted services income of a company of a statutory accounting period includes net gains that accrued to the company in the statutory accounting period in respect of the disposal of tainted assets, where the following conditions are satisfied:
 (a) at the time of the disposal of the tainted asset, the company was an AFI subsidiary whose sole or principal business was financial intermediary business;
 (b) the disposal was made in the course of carrying on that business;
 (c) the tainted asset is covered by paragraph (4)(b);
 (d) the tainted asset was acquired from, or disposed of to, another entity where either of the following conditions are satisfied at the time of the acquisition or disposal:
 (i) the entity was a Part X Australian resident, and the acquisition or disposal was not