Document ID: chunk:federal_register_of_legislation:C2010C00499:clause:10_15:p2
Version: federal_register_of_legislation:C2010C00499
Segment Type: clause
Provision Reference: sch 10 cl 15 (pt 2/11)
Character Range: 94387–97065

purpose of applying that Act and this Act in relation to the partner's interest, the limited partnership is a foreign hybrid limited partnership in relation to any income year during which the election is in force.

830‑15  Foreign hybrid company

 (1) A company is a foreign hybrid company in relation to an income year if:
 (a) at all times during the income year when the company is in existence, the partnership treatment requirements for the income year in subsection (2) or (3) are satisfied; and
 (b) at no time during the income year is the company, for the purposes of a law of any foreign country that imposes *foreign tax on entities because they are residents of the foreign country, a resident of that country; and
 (c) at no time during the income year is the company an Australian resident; and
 (d) disregarding this Division, in relation to the same income year of another taxpayer:
 (i) the company is a *CFC at the end of a *statutory accounting period that ends in the income year; and
 (ii) at the end of the statutory accounting period, the taxpayer is an *attributable taxpayer in relation to the CFC with an *attribution percentage greater than nil.

Partnership treatment requirements specific to USA

 (2) For the purposes of paragraph (1)(a), the partnership treatment requirements are satisfied if:
 (a) the company was formed in the United States of America; and
 (b) for the purposes of the law of that country relating to *foreign tax imposed by that country, the company is a limited liability company that:
 (i) is treated as a partnership; or
 (ii) is an eligible entity that is disregarded as an entity separate from its owner.

Partnership treatment requirements relating to any foreign country

 (3) For the purposes of paragraph (1)(a), the partnership treatment requirements are also satisfied if:
 (a) the company was formed in a foreign country (which may be the United States of America); and
 (b) for the purposes of the law of that country relating to *foreign tax imposed by that country, the company is treated as a partnership; and
 (c) regulations are in force setting out requirements to be satisfied by a company in relation to the income year for the purposes of this paragraph, and the company satisfies those requirements.

 (4) Regulations for the purposes of paragraph (3)(c) cannot set out requirements in relation to any income year before the one in which the regulations are made.

 (5) If a *shareholder in a company makes an election under subsection 485AA(2) of the Income Tax Assessment Act 1936 in relation to the shareholder's share or shares in the company, then, for the purpose of applying that Act and this