Document ID: chunk:federal_register_of_legislation:C2010C00578:clause:1_3:p2
Version: federal_register_of_legislation:C2010C00578
Segment Type: clause
Provision Reference: sch 1 cl 3 (pt 2/3)
Character Range: 17089–19759

period throughout which:
 (i) the entity is the *head company of a *consolidated group or *MEC group; and
 (ii) at least one *member of the group is a financial entity because of that paragraph.

 (3) An entity satisfies this subsection for an income year if it satisfies subsection (2) and the amount worked out using this formula is greater than or equal to 0.8:
where:

on‑lent amount means the average value, for that income year, of the entity's *on‑lent amount.

total assets means the average value, for that income year, of all the entity's assets.

UG on derivatives means the average value, for that income year, of the entity's assets consisting of unrealised gains on trading derivatives within the meaning of the Corporations Act 2001.

UL on derivatives means the lesser of:
 (a) the average value, for that income year, of the entity's liabilities consisting of unrealised losses on trading derivatives within the meaning of the Corporations Act 2001; and
 (b) the average value, for that income year, of the entity's assets consisting of unrealised gains on trading derivatives within the meaning of that Act.

On‑lent amount increased for financial entity whose assets include precious metals

 (4) In working out whether an entity satisfies subsection (1) or (3) for an income year, the average value, for that income year, of the entity's *on‑lent amount is increased by the average value, for that income year, of the entity's assets that consist of *precious metals, but only if the entity satisfies subsection (5) for that income year.

 (5) An entity satisfies this subsection for an income year if the first period that is all or part of that income year, and for which the entity would be treated in accordance with a choice under section 820‑430, consists of one or more periods, each of which is either or both of these:
 (a) a period throughout which the entity is a *financial entity;
 (b) a period throughout which:
 (i) the entity is the *head company of a *consolidated group or *MEC group; and
 (ii) at least one *member of the group is a financial entity.

820‑440  Revocation of choice

 (1) A choice under section 820‑430 can be revoked only with the written approval of the Commissioner. The Commissioner may approve a revocation only if satisfied that the entity's circumstances have changed significantly since the choice was made.

 (2) If revoked, the choice does not have effect for a period that starts on or after the day on which the Commissioner's approval is given, unless the revocation is expressed to take effect on an earlier day. In that case, it does not have effect for a period that starts on or after the earlier