Document ID: chunk:federal_register_of_legislation:C2010C00605:clause:6_5
Version: federal_register_of_legislation:C2010C00605
Segment Type: clause
Provision Reference: sch 6 cl 5
Character Range: 100340–101039

5  At the end of Subdivision 707‑D
Add:

707‑410  Exit history rule does not treat entity as having made a loss

 (1) To avoid doubt, if the *head company of a *consolidated group makes a loss of a particular *sort and an entity ceases to be a *subsidiary member of the group, the entity is not taken because of section 701‑40 (the exit history rule):
 (a) to have made the loss; or
 (b) to have made another loss of the same sort because of the circumstances that caused the head company to make the loss.

 (2) It does not matter whether the *head company makes the loss because of a transfer under Subdivision 707‑A (whether from the entity or another entity) or because of another provision.