Document ID: chunk:federal_register_of_legislation:C2004A00975:clause:1_1:p6
Version: federal_register_of_legislation:C2004A00975
Segment Type: clause
Provision Reference: sch 1 cl 1 (pt 6/20)
Character Range: 14391–17270

current corporate tax rate, on the profits underlying the distribution.

[This is the end of the Guide.]

Operative provisions

202‑60  Amount of the franking credit on a distribution

 (1) The amount of the *franking credit on a *distribution is that stated in the *distribution statement for the distribution, unless that amount exceeds the *maximum franking credit for the distribution.

 (2) The maximum franking credit for a *distribution is worked out using the formula:

202‑65  Where the franking credit stated in the distribution statement exceeds the maximum franking credit for the distribution

  If the amount of a *franking credit stated in a *distribution statement for a *distribution exceeds the *maximum franking credit for the distribution, the amount of the franking credit on the distribution is taken to be the amount of the maximum franking credit for the distribution, and not the amount stated in the distribution statement.

Subdivision 202‑E—Distribution statements

Guide to Subdivision 202‑E

202‑70  What this Subdivision is about

      An entity that makes a frankable distribution must give the recipient a statement setting out details of the distribution.

Table of sections

Operative provisions

202‑75 Obligation to give a distribution statement
202‑80 Distribution statement
202‑85 Changing the franking credit on a distribution by amending the distribution statement

[This is the end of the Guide.]

Operative provisions

202‑75  Obligation to give a distribution statement

 (1) An entity that makes a *frankable distribution must give the recipient a *distribution statement.

 (2) The statement must be given:
 (a) if the entity is not a *private company for the income year in which the *distribution is made—on or before the day on which the distribution is made; or
 (b) if the entity is a private company for the income year in which the distribution is made:
 (i) where the Commissioner has not made a determination under subsection (3)—before the end of 4 months after the end of the income year in which the distribution is made; or
 (ii) where the Commissioner makes a determination under subsection (3) that the statement may be given before a later time—before that time.

Note: A consequence of the rule in paragraph (2)(b) is that private companies can, in effect, frank retrospectively.

 (3) The Commissioner may determine in writing that a *private company may give the statement before a time that is later than 4 months after the end of the income year in which the distribution is made.

202‑80  Distribution statement

 (1) A distribution statement is a statement made in accordance with this section.

 (2) The statement must be in the *approved form.

 (3) The statement must:
 (a) identify the entity making the distribution; and
 (b) state the date on which the distribution is made; and
 (c) state the