Document ID: chunk:federal_register_of_legislation:C2010C00499:clause:10_15:p3
Version: federal_register_of_legislation:C2010C00499
Segment Type: clause
Provision Reference: sch 10 cl 15 (pt 3/11)
Character Range: 96836–99666

If a *shareholder in a company makes an election under subsection 485AA(2) of the Income Tax Assessment Act 1936 in relation to the shareholder's share or shares in the company, then, for the purpose of applying that Act and this Act in relation to the shareholder's share or shares, the company is a foreign hybrid company in relation to any income year during which the election is in force.

Subdivision 830‑B—Extension of normal partnership provisions to foreign hybrid companies

Note: The normal partnership provisions will apply of their own force to foreign hybrids that are foreign hybrid limited partnerships.

Table of sections

830‑20 Treatment of company as a partnership
830‑25 Partners are the shareholders in the company
830‑30 Individual interest of a partner in net income etc. equals percentage of notional distribution of company's profits
830‑35 Partner's interest in assets
830‑40 Control and disposal of share in partnership income

830‑20  Treatment of company as a partnership

  If a company is a *foreign hybrid company in relation to an income year, the *foreign hybrid tax provisions apply as if the company were a partnership, and for that purpose the following provisions of this Subdivision have effect.

830‑25  Partners are the shareholders in the company

  The partners in the partnership are the *shareholders in the company.

830‑30  Individual interest of a partner in net income etc. equals percentage of notional distribution of company's profits

  The individual interest of a partner in the *net income or *partnership loss of the partnership of the income year is equal to the percentage that, if the profits of the company for the income year were distributed at the end of the income year to its *shareholders:
 (a) if paragraph (b) does not apply—as dividends; or
 (b) if the company's *constitution or other rules provide for the distribution of profits other than as dividends—in accordance with the constitution or those rules;
the partner, as a shareholder, could reasonably be expected to receive of the total distribution.

830‑35  Partner's interest in assets

 (1) The interest that each partner has in the assets of the partnership, under the partnership agreement, is equal to the percentage in subsection (2).

 (2) The percentage is the percentage that, if the capital of the company were distributed to its *shareholders on a winding‑up of the company at the end of the income year, the partner, as a shareholder, could reasonably be expected to receive of the total distribution.

830‑40  Control and disposal of share in partnership income

 (1) This section applies for the purposes of determining under section 94 of the Income Tax Assessment Act 1936 whether the partnership is so constituted or controlled, or its operations are so conducted, that a partner