Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p18
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 18/21)
Character Range: 392312–395007

of the table in section 219‑15 of the Income Tax Assessment Act 1997 arises in the new franking account in relation to a payment of the PAYG instalment mentioned in paragraph (1)(a) of this section that was made before 1 July 2002.
Note: On the assessment day, the franking credit mentioned in paragraph (1)(a) is therefore:
             *    reversed by the franking debit arising under subsection (2); and
             *    replaced with a franking credit arising under subsection (3).

219‑45  Reversing (on tax paid basis) certain franking debits that arose before 1 July 2002
 (1) This section applies if:
 (a) a franking debit arose before 1 July 2002 in the franking account of a life insurance company under former section 160AQCNCE of the Income Tax Assessment Act 1936 in relation to a PAYG instalment variation credit in respect of an income year; and
 (b) the company's assessment day (the assessment day) for that income year occurs on or after 1 July 2002; and
 (c) the company has a franking account (the new franking account) under section 205‑10 of the Income Tax Assessment Act 1997.
 (2) A franking credit of the amount worked out in accordance with the following formula is taken to have arisen in the new franking account on 1 July 2002:

where:
amount of the 1936 Act debit means the amount of the franking debit mentioned in paragraph (1)(a).
Note: As the effects of former sections 160AQCNCE and 160APVN of the Income Tax Assessment Act 1936 are not duplicated in the Income Tax Assessment Act 1997, this section ensures that a debit arising under former section 160AQCNCE before 1 July 2002 is reversed on a tax paid basis on that date if it has not been reversed under former section 160APVN before that date.

Division 220—Imputation for NZ resident companies and related companies

Table of sections
220‑1 Application to things happening on or after 1 April 2003
220‑5 Residency requirement for income year including 1 April 2003
220‑10 NZ franking company cannot frank before 1 October 2003
220‑35 Extended time to make NZ franking choice
220‑501 Franking and exempting accounts of new former exempting entities

220‑1  Application to things happening on or after 1 April 2003
  The following apply in relation to things happening on or after 1 April 2003, subject to this Division:
 (a) Division 220 of the Income Tax Assessment Act 1997;
 (b) the amendments of that Act made by Division 1 of Part 2 of Schedule 10 to the Taxation Laws Amendment Act (No. 6) 2003 relating to Division 220 of the Income Tax Assessment Act 1997.

220‑5  Residency requirement for income year including 1 April 2003
  In determining whether an NZ franking company meets the residency