Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p17
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 17/31)
Character Range: 649796–652558

the Income Tax Assessment Act 1997.
Note: The tax cost setting amount applicable in relation to the asset for that purpose is worked out in accordance with Division 705 of the Income Tax Assessment Act 1997.

Division 703—Consolidated groups and their members

Table of sections
703‑30 Debt interests that are not membership interests
703‑35 Employee share schemes

703‑30  Debt interests that are not membership interests
 (1) For the purposes of Part 3‑90 of the Income Tax Assessment Act 1997, this section affects whether an interest or right that is held by an entity on or after 1 July 2002 and relates to another entity is a membership interest of the entity in the other entity.
 (2) Apply Division 974 of the Income Tax Assessment Act 1997 in determining under Subdivision 960‑G of that Act whether the interest or right is a membership interest of the entity in the other entity.
Note: Under Subdivision 960‑G of the Income Tax Assessment Act 1997, a debt interest relating to an entity is not a membership interest in the entity. Division 974 of that Act explains what a debt interest is.
 (3) This section has effect whether or not the debt and equity test amendments (as defined in item 118 of Schedule 1 to the New Business Tax System (Debt and Equity) Act 2001) apply to transactions in relation to the interest or right at the relevant time.

703‑35  Employee share schemes
  Despite the amendments of section 703‑35 of the Income Tax Assessment Act 1997 made by Schedule 1 to the Tax Laws Amendment (2009 Budget Measures No. 2) Act 2009, subsection (4) of that section continues to apply, from the commencement of that Schedule, to each share and membership interest that it applied to just before that commencement.

Division 705—Tax cost setting amount for assets where entities become members of consolidated groups

Table of Subdivisions
705‑E Expenditure relating to exploration, mining or quarrying

Subdivision 705‑E—Expenditure relating to exploration, mining or quarrying

Table of sections
705‑300 Application and object of this Subdivision
705‑305 Rules affecting depreciating assets
705‑310 Adjustable value of head company's notional assets

705‑300  Application and object of this Subdivision
 (1) If an entity (the joining entity) to which section 40‑75 of this Act applied becomes a subsidiary member of a consolidated group at a time (the joining time), this Subdivision applies in relation to:
 (a) depreciating assets that:
 (i) caused section 40‑75 of this Act to apply to the joining entity; and
 (ii) became assets of the head company of the group at the joining time because of section 701‑1 (Single entity rule) of the Income Tax Assessment Act 1997 operating in relation to the joining entity; and
 (b) notional assets