Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p1
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 1/25)
Character Range: 7313927–7316774

4                 An *interest issued by the entity that:
                  (a) gives its holder (or an *associate of the holder) a right to be issued with an *equity interest in the entity or an associate of the entity; or
                  (b) is an interest that will, or may, convert into an equity interest in the entity or an associate of the entity

  This subsection has effect subject to subsection (3) (requirement for financing arrangement).
Note: Section 974‑90 as applied by subsection (1) allows regulations to be made clarifying when a right or return is taken to be at the discretion of an entity or an associate.

Financing arrangement
 (3) A *scheme that would otherwise give rise to an *equity interest in an entity that is a trust or partnership because of an item in the table in subsection (2) (other than item 1) does not give rise to an equity interest in the entity unless the scheme is a *financing arrangement (see section 974‑130 as applied by this section) for the trust or partnership.

Form interest may take
 (4) The interest referred to in item 2, 3 or 4 in the table in subsection (2) may take the form of a proprietary right, a chose in action or any other form.

Regulations
 (5) Subject to regulations made under subsection (6), the regulations made under Subdivisions 974‑C, 974‑D and 974‑F are applied for the purposes of this section as if they were regulations made under the provisions applied by subsection (1).
 (6) Regulations may be made under the provisions applied by subsection (1) specifically in relation to:
 (a) an *equity interest in a trust; or
 (b) an equity interest in a partnership.

Subdivision 820‑JA—Worldwide debt and equity concepts

Guide to Subdivision 820‑JA

820‑931  What this Subdivision is about
      This Subdivision provides for the meanings of worldwide debt, worldwide equity, statement worldwide debt, statement worldwide equity and statement worldwide assets.

Table of sections

Operative provisions
820‑932 Worldwide debt and worldwide equity
820‑933 Statement worldwide debt, statement worldwide equity and statement worldwide assets
820‑935 Requirements for audited consolidated financial statements

Operative provisions

820‑932  Worldwide debt and worldwide equity

Worldwide debt
 (1) An entity's worldwide debt at a particular time, means the total of the following amounts:
 (a) all the *debt interests issued by the entity:
 (i) to entities other than any *Australian controlled foreign entities (the controlled entities) of which the entity is an *Australian controller at that time; and
 (ii) that are still *on issue at that time;
 (b) all the debt interests issued by the controlled entities:
 (i) to entities other than the entity or other controlled entities; and
 (ii) that are still on issue at that time.

Worldwide equity
 (2) An entity's worldwide