Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p12
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 12/13)
Character Range: 7191319–7194129

treated as being attributable to another debt interest under subsection 820‑427A(2) because it is directly associated with hedging or managing the interest rate risk in respect of that other debt interest.

820‑427D  Modified meaning of associate entity
 (1) For the purposes of this Subdivision, in determining whether an entity is an associate entity of another entity:
 (a) treat the references in paragraphs 820‑905(1)(a) and 820‑905(2A)(a) to "an *associate interest of 50% or more" as instead being:
 (i) for the purposes of paragraph 820‑427A(5)(b)—a reference to "a *TC control interest of 50% or more"; or
 (ii) for the purposes of any other provision in this Subdivision—a reference to "a *TC control interest of 20% or more"; and
 (aa) disregard the requirement in subsections 820‑905(1) and (2A) that the entity is an *associate of the other entity, unless only paragraph 820‑905(1)(b) applies; and
 (b) treat subsection 820‑860(3) as applying for the purposes of determining whether the entity is an associate entity of the other entity (as a result of paragraph (a) of this subsection); and
 (c) treat the purposes mentioned in subparagraphs 820‑870(1)(b)(i) and (ii) as including the purposes of determining whether the entity is an associate entity of the other entity (as a result of paragraph (a) of this subsection).
 (2) For the purposes of this Subdivision:
 (a) treat an entity (the first entity) that has entered into a *cross‑staple arrangement with another entity as an associate entity of that other entity; and
 (b) if that other entity is itself an associate entity of a conduit financer mentioned in section 820‑427C (whether because of another operation of this subsection or otherwise)—treat the first entity as an associate entity of the conduit financer.

820‑427E  Modified meaning of Australian entity
  For the purposes of this Subdivision, in determining whether an entity is an *Australian entity at a particular time:
 (a) for the purposes of paragraph 336(a) of the Income Tax Assessment Act 1936, treat a partnership as being an Australian entity if, at that time, a *direct participation interest of 50% or more is held in the partnership by one or more of the following:
 (i) an Australian resident;
 (ii) an *Australian trust; and
 (b) disregard section 337 of that Act.

Subdivision 820‑EA—Some financial entities may choose to be treated as ADIs

Table of sections
820‑430 When choice can be made, and what effect it has
820‑435 Conditions
820‑440 Revocation of choice
820‑445 How this Subdivision interacts with Subdivision 820‑FA

820‑430  When choice can be made, and what effect it has
 (1) An entity may choose to be treated, for the purposes of this Division (except this Subdivision), as set out in the table. However, the entity can make the choice only if