Document ID: chunk:federal_register_of_legislation:C2014A00133:clause:1_1:p4
Version: federal_register_of_legislation:C2014A00133
Segment Type: clause
Provision Reference: sch 1 cl 1 (pt 4/7)
Character Range: 11612–14484

company, and the *market value of those shares expressed as a percentage of the market value of all the shares in the interposed company must be such that it is reasonable to treat the exchanging members as owning all the shares.

615‑30  Interposed company must make a particular choice
 (1) Unless subsection (2) applies, the interposed company must choose that section 615‑65 applies.
 (2) The interposed company must choose that a *consolidated group continues in existence at and after the completion time with the interposed company as its *head company, if:
 (a) immediately before the completion time, the consolidated group consisted of the original entity as head company and one or more other members (the other group members); and
 (b) immediately after the completion time, the interposed company is the head company of a *consolidatable group consisting only of itself and the other group members.
Note: Sections 703‑65 to 703‑80 deal with the effects of the choice for the consolidated group.
 (3) A choice under subsection (1) or (2) must be made:
 (a) within 2 months after the completion time, if the choice is under subsection (1); or
 (b) within 28 days after the completion time, if the choice is under subsection (2); or
 (c) within such further time as the Commissioner allows.
The choice cannot be revoked.
 (4) The way the interposed company prepares its *income tax returns is sufficient evidence of the making of the choice.

615‑35  ADI restructures—disregard certain preference shares
  For the purposes of this Division, disregard any *shares in the original entity that can be disregarded under subsection 703‑37(4) if:
 (a) the interposed company is a non‑operating holding company within the meaning of the Financial Sector (Business Transfer and Group Restructure) Act 1999; and
 (b) a restructure instrument under Part 4A of that Act is in force in relation to the interposed company; and
 (c) because of the restructure to which the instrument relates, an *ADI becomes a subsidiary (within the meaning of that Act) of the interposed company; and
 (d) the original entity is:
 (i) the ADI; or
 (ii) part of an extended licensed entity (within the meaning of the *prudential standards) that includes the ADI.

Subdivision 615‑C—Consequences of roll‑overs

Table of sections
615‑40 CGT consequences
615‑45 Additional consequences—deferral of profit or loss
615‑50 Trading stock
615‑55 Revenue assets
615‑60 Disregard CGT exemption for trading stock

615‑40  CGT consequences
  The consequences set out in Subdivision 124‑A also apply to a roll‑over under this Division as if that roll‑over were a roll‑over covered by Division 124 (about replacement‑asset roll‑overs).
Note: Those consequences generally involve:
(a) disregarding a capital gain or capital loss you make from the disposal, redemption or cancellation of your shares or units