New Business Tax System (Former Subsidiary Tax Imposition) Act 1999

No. 166, 1999 as amended

Compilation start date:  28 June 2013

Includes amendments up to: Act No. 88, 2013

About this compilation

The compiled Act

This is a compilation of the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999 as amended and in force on 28 June 2013. It includes any amendment affecting the compiled Act to that date.

This compilation was prepared on 19 August 2013.

The notes at the end of this compilation (the endnotes) include information about amending Acts and instruments and the amendment history of each amended provision.

Uncommenced provisions and amendments

If a provision of the compiled Act is affected by an uncommenced amendment, the text of the uncommenced amendment is set out in the endnotes.

Application, saving and transitional provisions for amendments

If the operation of an amendment is affected by an application, saving or transitional provision, the provision is identified in the endnotes.

Modifications

If a provision of the compiled Act is affected by a textual modification that is in force, the text of the modifying provision is set out in the endnotes.

Provisions ceasing to have effect

If a provision of the compiled Act has expired or otherwise ceased to have effect in accordance with a provision of the Act, details of the provision are set out in the endnotes.

Contents

1 Short title

2 Commencement

3 Imposition

4 Amount of tax

Endnotes

Endnote 1—Legislation history

Endnote 2—Amendment history

Endnote 3—Uncommenced amendments [none]

Endnote 4—Misdescribed amendments [none]

An Act to impose a tax on certain members of a wholly‑owned company group

1  Short title

  This Act may be cited as the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.

2  Commencement

  This Act commences on the day on which it receives the Royal Assent.

3  Imposition

  This section imposes a tax that is payable under section 45‑25 of the Income Tax Assessment Act 1997 by a company that was a member of the wholly‑owned group referred to in that section just before the time when the direct or indirect beneficial ownership referred to in paragraph 45‑15(1)(f) or 45‑20(1)(f) of that Act was acquired.

4  Amount of tax

 (1) The amount of the tax is an amount worked out under subsection (2) as if it were an amount of income tax payable by the company referred to in section 3.

 (2) The amount referred to in subsection (1) is the lesser of:

 (a) the outstanding amount of income tax payable by the former subsidiary referred to in section 45‑25 of the Income Tax Assessment Act 1997 (including any amount of general interest charge, or any amount of interest or penalty payable under former section 170AA, 207 or 207A of the Income Tax Assessment Act 1936, attributable to that amount); and

 (b) the amount of income tax that would be payable by the former subsidiary for the income year in which the amount was included in its assessable income because of section 45‑15 or 45‑20 of that Act if:

 (i) that amount were its taxable income for the income year; and

 (ii) it was not entitled to any tax offset for the income year;

  including any amount of general interest charge, or any amount of interest or penalty payable under former section 170AA, 207 or 207A of the Income Tax Assessment Act 1936, that would be attributable to that amount.

 (3) The amount referred to in paragraph (2)(b) is reduced by any amount paid by a company (except the former subsidiary) that was a member of the former subsidiary’s former wholly‑owned group.

Endnotes

Endnote 1—Legislation history

This endnote sets out details of the legislation history of the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.

Endnote 2—Amendment history

This endnote sets out the amendment history of the New Business Tax System (Former Subsidiary Tax Imposition) Act 1999.

Endnote 3—Uncommenced amendments [none]

There are no uncommenced amendments.

Endnote 4—Misdescribed amendments [none]

There are no misdescribed amendments.