Document ID: chunk:federal_register_of_legislation:C2025C00180:clause:1_4:p16
Version: federal_register_of_legislation:C2025C00180
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 16/22)
Character Range: 902384–905024

of determining the *instalment income of the subsidiary member for that period is worked out under section 45‑855.
 (4) For the purposes of this section, the starting time is the time at which Subdivision 45‑Q starts to apply to the *head company of the group because of subsection 45‑705(2) or subparagraph 45‑705(3)(c)(ii), (4)(d)(ii) or (iv).

45‑865  Credit rule
 (1) When the Commissioner makes an assessment:
 (a) of the income tax that the *head company of a *consolidated group is liable to pay for a *consolidation transitional year for the head company; or
 (b) that no income tax is payable by the head company for that year;
the head company is, in addition to any credit to which it is entitled under section 45‑30 for that year, entitled to a credit in relation to instalments payable by an entity that is a *subsidiary member of the group at any time during that year.
 (2) The credit is equal to:
 (a) the sum of so much of each instalment payable by the entity (even if it has not paid it) for an *instalment quarter of a *consolidation transitional year for the entity, or for that year, as is reasonably attributable to so much of that quarter or year:
 (i) which is, or is included in, the consolidation transitional year for the *head company; and
 (ii) during which the entity is a *subsidiary member of the group;
  minus
 (b) the sum of so much of each credit that the entity has claimed under section 45‑215 or 45‑420 for each instalment quarter covered by paragraph (a) as is reasonably attributable to:
 (i) for a credit under section 45‑215—so much of the preceding instalment quarters of that consolidation transitional year for the entity which is covered by subparagraphs (a)(i) and (ii); or
 (ii) for a credit under section 45‑420—so much of that instalment quarter and the preceding instalment quarters of that consolidation transitional year for the entity which is covered by subparagraphs (a)(i) and (ii).
 (3) To avoid doubt, if:
 (a) during the *instalment quarter or the *consolidation transitional year mentioned in paragraph (2)(a), the entity is a *subsidiary member of:
 (i) 2 or more *consolidated groups; or
 (ii) one or more consolidated groups and one or more *MEC groups; and
 (b) an amount is taken into account under that paragraph or paragraph (2)(b) in working out the credit to which the *head company of one of the groups is entitled under subsection (1);
that amount is not to be taken into account in working out the credit to which the head company of another of those groups is entitled under that subsection.
 (4) A reference in subsection (3) to subsection (1) or paragraph (2)(a)