Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p25
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 25/80)
Character Range: 4403817–4406419

*tax offset under Division 770; and
 (b) the AMIT has a *trust component deficit for the income year of that character.
 (2) The *AMIT has a FITO allocation amount for the income year equal to the sum of:
 (a) that *trust component deficit; and
 (b) the product of:
 (i) that trust component deficit; and
 (ii) the *corporate tax gross‑up rate.

276‑340  Trust component character relating to tax offset—taxation of trust component deficit
 (1) This section applies if:
 (a) the *AMIT has a *trust component of a character relating to a *tax offset; and
 (b) the character of the trust component is not the character of *foreign income tax paid that counts towards a tax offset under Division 770; and
 (c) the AMIT has a *trust component deficit for the income year of that character.

Offset trust component deficit (other than FITO character) taxed
 (2) The trustee of the *AMIT is liable to pay tax at the rate declared by the Parliament on the amount of the *trust component deficit.
Note: The tax is imposed by the Income Tax (Attribution Managed Investment Trusts—Offsets) Act 2016 and the rate of the tax is set out in that Act.

Unders and overs

276‑345  Meaning of under and over of a character
 (1) This section sets out how to work out the amount (if any) of an *AMIT's *under or *over of a particular character for an income year (the base year) in a later income year (the discovery year).
 (2) The time (the discovery time) at which this is worked out for the discovery year is just before the trustee works out the *determined trust component of that character for the discovery year.
Note: This allows unders and overs to be included in the determined trust component for the discovery year: see section 276‑305.
 (3) Compare the following amounts:
 (a) the *AMIT's *trust component of that character for the base year, worked out on the basis of the trustee's knowledge at the discovery time (the discovery year amount);
 (b) this amount (the base year running balance):
 (i) if the discovery year is the first income year after the base year—the AMIT's *determined trust component of that character for the base year; or
 (ii) otherwise—the discovery year amount worked out under a previous operation of this section for the most recent income year before the discovery year.

A shortfall is an under
 (4) If the base year running balance falls short of the discovery year amount, the amount of the shortfall is an under of that character, for the base year, that the *AMIT has in the discovery year.

An excess is an over
 (5) If the base year running balance exceeds the discovery