Document ID: chunk:federal_register_of_legislation:C2010C00604:clause:7_1:p1
Version: federal_register_of_legislation:C2010C00604
Segment Type: clause
Provision Reference: sch 7 cl 1 (pt 1/13)
Character Range: 101606–104551

1  After Division 713
Insert:

Division 715—Interactions between this Part and other areas of the income tax law

Table of Subdivisions

715‑A Treatment of unrealised losses existing when ownership or control of a company changes before or during consolidation
715‑B How Subdivision 165‑CD applies to consolidated groups and leaving entities
715‑C Common rules for the purposes of Subdivisions 715‑A and 715‑B
715‑D Treatment of company's deferred losses under Subdivision 170‑D on joining a consolidated group
715‑G How value shifting rules apply to a consolidated group
715‑H Cancelling loss on realisation event for direct or indirect interest in a subsidiary member of a consolidated group

Subdivision 715‑A—Treatment of unrealised losses existing when ownership or control of a company changes before or during consolidation

Table of sections

Object

715‑15 Object of this Subdivision

Effect on Subdivision 165‑CC of a company becoming a member of a consolidated group

715‑25 Subdivision 165‑CC stops applying to earlier changeover time
715‑30 Meaning of 165‑CC tagged asset
715‑35 Meaning of final RUNL

165‑CC tagged assets that affect tax cost setting amounts

715‑50 Step 1 amount is reduced if membership interest in subsidiary member is 165‑CC tagged asset and same business test is failed
715‑55 Step 2 amount is affected if liability of subsidiary member is 165‑CC tagged asset of another group member and same business test is failed

165‑CC tagged assets that form loss denial pools of head company when consolidated group is formed

715‑60 Assets that the head company already owns
715‑70 Assets of subsidiary member that become those of head company

How Subdivision 165‑CC applies to consolidated groups

715‑75 Extension of single entity rule and entry history rule

Effect on Subdivision 165‑CC of entity leaving consolidated group

715‑80 Application of sections 715‑85 to 715‑110
715‑85 First changeover time for leaving company at or after leaving time
715‑90 How same business test applies if leaving time is changeover time for leaving company
715‑95 If ownership and control of leaving entity have not changed since head company's last changeover time
715‑100 First choice: adjustable values of leaving assets reduced to nil
715‑105 Second choice: head company's final RUNL applied in reducing adjustable values of leaving assets that are loss assets
715‑110 Third choice: loss denial pool of leaving entity created

Effect of assets in loss denial pool of head company becoming assets of leaving entity

715‑120 What happens
715‑125 First choice: adjustable values of leaving assets reduced to nil
715‑130 Second choice: pool's loss denial balance applied in reducing adjustable values of leaving assets that are loss assets
715‑135 Third choice: loss denial pool of leaving entity created

Effect of first and second choices on various kinds of assets

715‑145 Effect of choice on adjustable value of