Bill
Treasury Laws Amendment (Income Tax Consolidation Integrity) Bill 2018
passed, as at 2018-03-28. Treasury portfolio.
- Sponsor
- Not recorded
- Portfolio
- Treasury
Recorded stages
- introduced — 2018-02-15
- second reading — 2018-02-15
- second reading — 2018-02-28
- second reading — 2018-02-28
- third reading — 2018-02-28
- introduced — 2018-03-19
- second reading — 2018-03-19
- second reading — 2018-03-22
- second reading — 2018-03-22
- third reading — 2018-03-22
- passed — 2018-03-22
- royal assent — 2018-03-28
Divisions
No divisions recorded. Most questions are decided on the voices; this does not establish that a bill was unopposed.
Plain-language summary
Written by a model from the explanatory memorandum; not the record, as at 2018-02-15.
This bill would change the income tax law to make the rules for corporate groups that file a single tax return work more fairly and simply.
It would adjust several specific rules, including those about debts, tax deferrals, and assets that are sold or transferred when a company joins or leaves the group.
The explanatory memorandum does not state a start date or any dollar amounts for these changes.
- It would stop a company from getting a tax benefit twice for certain debts when it joins a consolidated group.
- It would ignore deferred tax liabilities when working out the tax cost of assets on entry to or exit from a group.
- It would fix problems that occur when a company with securitised assets joins or leaves a group.
- It would turn off the entry tax cost rules in some cases where a foreign owner's capital gain or loss is ignored.
- It would clarify how the tax rules apply when a financial arrangement leaves a group with a departing subsidiary.
- It would correct anomalies when a company leaves a group holding an asset that matches a debt owed by the old group.
Companies that join or leave a consolidated group for income tax purposes, and their foreign owners.
Sources
em
billhome
frl act