Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p21
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 21/31)
Character Range: 659553–662409

the head company's depreciating assets under subsection 705‑305(3).

Division 707—Losses for head companies when entities become members etc.

Table of Subdivisions
707‑A Transfer of losses to head company
707‑C Amount of transferred losses that can be utilised
707‑D Special rules about losses

Subdivision 707‑A—Transfer of losses to head company

Table of sections
707‑145 Certain choices to cancel the transfer of a loss may be revoked

707‑145  Certain choices to cancel the transfer of a loss may be revoked
  Subsection 707‑145(3) of the Income Tax Assessment Act 1997 does not apply if:
 (a) the revocation of the choice mentioned in that subsection takes place before 1 January 2006; and
 (b) each entity in relation to which the following conditions are satisfied has agreed to the revocation:
 (i) the entity (the leaving entity) ceased to be a subsidiary member of the group before the revocation took place;
 (ii) an asset became that of the leaving entity because section 701‑1 (the single entity rule) of the Income Tax Assessment Act 1997 ceased to apply when the leaving entity ceased to be a subsidiary member;
 (iii) the asset had become that of the head company because that section applied when the joining entity to which Subdivision 707‑A of that Act applies (whether or not the same entity as the leaving entity) became a subsidiary member.

Subdivision 707‑C—Amount of transferred losses that can be utilised

Table of sections
707‑325 Increasing the available fraction for a bundle of losses by increasing the real loss‑maker's modified market value
707‑326 Events involving only value donor and real loss‑maker not covered by rule against inflation of modified market value
707‑327 Choosing available fraction to apply to value donor's loss
707‑328 Income year and conditions for possible transfer under Division 170 of the Income Tax Assessment Act 1997
707‑328A Some events involving only group members not covered by rule against inflation of modified market value
707‑329 Modified market value at a time before 8 December 2004
707‑350 Alternative loss utilisation regime to Subdivision 707‑C of the Income Tax Assessment Act 1997
707‑355 Ignore certain losses in working out when a choice can be made under this Subdivision

707‑325  Increasing the available fraction for a bundle of losses by increasing the real loss‑maker's modified market value

Conditions for increasing real loss‑maker's modified market value
 (1) This section affects the working out of the available fraction for a bundle of losses under subsection 707‑320(1) of the Income Tax Assessment Act 1997 if:
 (a) the transferee mentioned in that subsection chooses under subsection (5) of this section to work out the available fraction using a percentage of the modified market value of a company (the value donor) other than the real loss‑maker mentioned