Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p7
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 7/45)
Character Range: 5925345–5928028

a *pre‑CGT asset at the joining time; and
 (f) the roll‑over asset becomes that of the head company of the joined group because subsection 701‑1(1) (the single entity rule) applies when the joining entity becomes a *subsidiary member of the group.
 (2) The step 3A amount is the amount of the *deferred roll‑over gain or the *deferred roll‑over loss mentioned in paragraph (1)(aa).

705‑95  Pre‑joining time distributions out of certain profits—step 4 in working out allocable cost amount
  For the purposes of step 4 in the table in section 705‑60, the step 4 amount is the sum of all distributions made by the joining entity before the joining time that:
 (a) the *head company receives directly, or would receive indirectly if entities interposed between the head company and the joining entity successively distributed any distribution they received immediately after receiving it; and
 (b) were made out of profits:
 (i) that did not accrue to the joined group before the joining time (see subsection 705‑90(7)); or
 (ii) that accrued to the joined group before the joining time and recouped losses of any *sort that accrued to the joined group before that time (see subsection 705‑90(8)).
Note: As well as subsection 705‑90(7), paragraph 705‑90(9)(b) and subsection 705‑90(10) are relevant to working out whether or not profits accrued to the joined group before the joining time.

705‑100  Losses accruing to joined group before joining time—step 5 in working out allocable cost amount
 (1) For the purposes of step 5 in the table in section 705‑60, the step 5 amount is the sum of all losses of any *sort of the joining entity that:
 (a) had not been *utilised by the joining entity for the income year in which the joining time occurred or any earlier income year; and
 (b) accrued to the joined group before the joining time (see subsection 705‑90(8)).
 (2) However, a loss is not to be taken into account under subsection (1) to the extent that it reduced the undistributed profits comprising the step 3 amount in the table in section 705‑60.

705‑102  FRT disallowed amounts accruing to joined group before joining time—step 5A in working out allocable cost amount
 (1) For the purposes of step 5A in the table in section 705‑60, the step 5A amount is the sum of all *FRT disallowed amounts of the joining entity that:
 (a) had not been applied by the joining entity under paragraph 820‑56(2)(b) for the income year in which the joining time occurred or any earlier income year; and
 (b) accrued to the joined group before the joining time (see subsection (2) of this section).
 (2) For the purposes of subsection (1), a *FRT disallowed amount accrued to the joined group