Document ID: chunk:federal_register_of_legislation:C2010C00611:clause:4_4:p5
Version: federal_register_of_legislation:C2010C00611
Segment Type: clause
Provision Reference: sch 4 cl 4 (pt 5/6)
Character Range: 135549–138193

of this subsection; and
 (b) the election is expressed to have come into effect on a specified day; and
 (c) the specified day is included in the period:
 (i) beginning on 1 July 2003; and
 (ii) ending on the day on which the election is made;
the election is taken to have come into effect on the specified day.

 (3) An election continues in effect, in relation to a particular account, until:
 (a) you cease to hold the account; or
 (b) the account ceases to be a *qualifying forex account; or
 (c) the election is varied by removing the account; or
 (d) a withdrawal of the election takes effect;
whichever happens first.

Note 1: For variation of election, see section 775‑235.

Note 2: For withdrawal of election, see section 775‑240.

 (4) If an election made by you under this section is in effect, you are not entitled to make another election under this section.

 (5) An *ADI or a *non‑ADI financial institution is not entitled to make an election under this section.

775‑235  Variation of election

 (1) If you have made an election under section 775‑230, you may vary your election by:
 (a) adding one or more *qualifying forex accounts; or
 (b) removing one or more qualifying forex accounts.

 (2) A variation must be in writing.

 (3) Removing an account does not prevent you from adding the account in a future variation.

775‑240  Withdrawal of election

 (1) If you have made an election under section 775‑230, you may withdraw your election.

 (2) A withdrawal must be in writing.

 (3) Withdrawing an election does not prevent you from making a fresh election under section 775‑230 in relation to any or all of the same accounts.

775‑245  When does a qualifying forex account pass the limited balance test?

Basic rule

 (1) For the purposes of this Subdivision, a *qualifying forex account that you hold passes the limited balance test at a particular time if, at that time:
 (a) an election made by you under section 775‑230 has effect in relation to:
 (i) the account; or
 (ii) the account and one or more other *qualifying forex accounts; and
 (b) the total of the credit balances of the account and each of those other accounts (if any) is not more than the *foreign currency equivalent of $250,000; and
 (c) the total of the debit balances of the account and each of those other accounts (if any) is not more than the foreign currency equivalent of $250,000.

Note: For buffering during an increased balance period, see subsections (2) and (3).

Buffering during first and second increased balance period

 (2) For the purposes of this section, an increased balance period is a continuous period consisting of: