Section 460A — Income Tax Assessment Act 1936: Effect of reducing section CGT event J1 amount

(1) This section applies in either of the following cases: (a) one or more schemes or arrangements have the effect of reducing the attribution percentage of an attributable taxpayer in relation to a company that is a CFC, and are intended by the attributable taxpayer or an associate of the attributable taxpayer to have that effect; (b) a company ceases to be a CFC in relation to a particular taxpayer. (2) Work out the amount (if any) included under this Division in the taxpayer’s assessable income because of CGT event J1 (as it notionally happens to the company under Division 7) as though the reduction or cessation had not happened. Note: CGT event J1 is about companies ceasing to be related after a roll-over.