Document ID: chunk:federal_register_of_legislation:C2010C00613:clause:8_109xc:p1
Version: federal_register_of_legislation:C2010C00613
Segment Type: clause
Provision Reference: sch 8 cl 109XC (pt 1/2)
Character Range: 49295–51822

109XC  Modifications

Modifications for this Subdivision only

 (1) The modifications in this section have effect for the purposes of the operation of this Subdivision.

General modifications

 (2) This Division (but not this Subdivision) applies to an actual transaction done by a trustee of a trust estate with these modifications:
 (a) a reference (except in section 109Y) to an amount paid to a private company has effect as a reference to an amount paid to the trustee; and
 (b) a reference to a year of income of a private company has effect as a reference to the corresponding year of income of the trust estate; and
 (c) a reference to the ordinary course of a private company's business has effect as a reference to the ordinary course of the trust estate's business.

Modified operation of section 109E

 (3) A loan referred to in this Subdivision that is made during a year of income of a trust estate is taken to have been fully repaid at the end of the year for the purposes of paragraph 109E(3)(a) if it is fully repaid by the earlier of the due date for lodgment and the date of lodgment of the trustee's return of income for the trust for that year of income of the trust.

Modified operation of section 109J

 (4) Section 109J does not apply to a payment to the extent that it is a discharge of or a reduction in a present entitlement.

Modified operation of section 109N

 (5) A loan referred to in this Subdivision is taken to have been made under a written agreement for the purposes of paragraph 109N(1)(a) if a written agreement is made in relation to the loan before the earlier of the due date for lodgment and the date of lodgment of the trustee's return of income for the trust for the year of income of the trust in which the loan was made.

Modified operation of section 109R

 (6) For the purposes of applying section 109R to an actual transaction:
 (a) a reference in that section to obtaining a loan from a private company has effect as a reference to obtaining a loan from the trustee; and
 (b) a reference in that section to property transferred to a private company has effect as a reference to property transferred to the trustee; and
 (c) a reference in that section to an amount paid by a private company for a transfer of property has effect as a reference to an amount paid by the trustee for a transfer of property.

Modified operation of section 109Y

 (7) Section 109Y applies to the Division 7A amount in this way:
 (a) assume that the private company referred to in subsection