Document ID: chunk:federal_register_of_legislation:C2025C00029:section:2:p11
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 2 (pt 11/66)
Character Range: 6352966–6355734

Table of sections

Object
717‑5 Object of this Subdivision

Foreign income tax on amounts in head company's assessable income
717‑10 Head company taken to be liable for subsidiary member's foreign income tax

Object

717‑5  Object of this Subdivision
  The object of this Subdivision is to allow the *head company of a *consolidated group to get the benefit of *foreign income tax paid in respect of amounts included in the head company's assessable income because another entity is or was a *subsidiary member of the group.

Foreign income tax on amounts in head company's assessable income

717‑10  Head company taken to be liable for subsidiary member's foreign income tax
 (1) This section operates if:
 (a) an entity was a *subsidiary member of a *consolidated group for all or part of an income year; and
 (b) an amount was included in the *ordinary income or *statutory income of the *head company of the group for that income year; and
 (c) the entity paid *foreign income tax (except *credit absorption tax, *unitary tax, *foreign IIR tax or *foreign UTPR tax) in respect of the amount.
 (2) Division 770 operates as if:
 (a) the *head company had paid the *foreign income tax; and
 (b) the entity had not paid the foreign income tax.
Note: Division 770 provides a tax offset for foreign income tax paid.
 (3) This section does not limit the operation of Division 770.

Subdivision 717‑D—Transfer of certain surpluses under CFC provisions and former FIF and FLP provisions: entry rules

Guide to Subdivision 717‑D

717‑200  What this Subdivision is about
      Each attribution surplus and post FIF abolition surplus relating to a company that becomes a subsidiary member of a consolidated group is transferred to the head company of the group.

Table of sections

Object
717‑205 Object of this Subdivision

Transfers
717‑210 Attribution surpluses
717‑220 FIF surpluses
717‑227 Deferred attribution credits

Object

717‑205  Object of this Subdivision
  The main object of this Subdivision is to avoid double taxation by transferring from a company (the joining company) that becomes a *subsidiary member of a *consolidated group at a time (the joining time) to the *head company of the group the benefit of each of these:
 (a) the attribution surplus (if any) for an attribution account entity (within the meaning of Part X of the Income Tax Assessment Act 1936) in relation to the joining company just before the joining time;
 (b) the post FIF abolition surplus (if any) (within the meaning of the Income Tax Assessment Act 1936) for a FIF attribution account entity (within the meaning of former Part XI of that Act) in relation to the joining company just before the joining time.

Transfers

717‑210  Attribution surpluses
 (1) This section operates for