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COMMONWEALTHAct
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s 707-145

Certain choices to cancel the transfer of a loss may be revoked

In force
Chapter 3Specialist liability rules
Part 3-90Consolidated groups
Division 707Losses for head companies when entities become members etc.
Subdivision 707-ATransfer of losses to head company

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.

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