Document ID: chunk:federal_register_of_legislation:C2004A00897:clause:1_2:p4
Version: federal_register_of_legislation:C2004A00897
Segment Type: clause
Provision Reference: sch 1 cl 2 (pt 4/5)
Character Range: 195783–198494

for the day during which that particular time occurs, as if:

                (a) the associate entity were an *outward investing entity (non‑ADI) or *inward investing entity (non‑ADI), as appropriate, for the period consisting only of that day; and
                (b) if the associate entity would otherwise be treated as an *outward investor (financial) for that day and the relevant entity is not a *financial entity throughout that day—the associate entity were an *outward investor (general) for that day; and
                (c) if the associate entity would otherwise be treated as an *inward investment vehicle (financial) for that day and the relevant entity is not a financial entity throughout that day—the associate entity were an *inward investment vehicle (general) for that day.

           Step 2. Reduce the result of step 1 by the value of the *adjusted average debt of the *associate entity for that day as if it had been the kind of entity that it is taken to be under step 1 for that day. If the result of this step is a negative amount, it is taken to be nil.
           Step 3. Multiply the result of step 2 by the sum of:

                (a) the value, as at that time, of all the *equity capital of the *associate entity that is attributable to the relevant entity at that time; and
                (b) the value, as at that time, of all the *debt interests issued to the relevant entity by the associate entity that do not give rise to *debt deductions of the associate entity for that or any other income year and remain *on issue at that time.

           Step 4. Divide the result of step 3 by the sum of:

                (a) the value, as at that time, of all the *equity capital of the *associate entity; and
                (b) the value, as at that time, of all the *debt interests issued by the associate entity that do not give rise to *debt deductions of the associate entity for that or any other income year and remain *on issue at that time.

            The result of this step is the attributable safe harbour excess amount.

Subdivision 820‑J—Equity interest in a trust or partnership

Guide to Subdivision 820‑J

820‑925  What this Subdivision is about

      This Subdivision provides for the meanings of an equity interest in a trust or partnership for the purposes of this Division.

Table of sections

920‑930 Equity interest in a trust or partnership

[This is the end of the Guide.]

820‑930  Equity interest in a trust or partnership

Application of provisions

 (1) For the purposes of this Division, an equity interest in an entity that is a trust or partnership has the meaning given by the provisions in Division 974 that are applied with the