Section DV 13 — Income Tax Act 2007: Group companies

DV 13 Group companies When this section applies (1) This section applies when,— (a) in an income year, a company ( company A ) that is part of a wholly-owned group of companies derives income under section CV 1 (Group companies); and (b) no other provision of this Act allows company A a deduction for the expenditure it incurs in deriving the income; and (c) if the wholly-owned group of companies were a single company, the single company would be allowed a deduction for the expenditure that company A incurs in deriving the income. Amount, and timing, of deduction (2) Company A is allowed a deduction for the expenditure in the income year in which the income is derived. Link with subpart DA (3) This section supplements the general permission and overrides the exempt income limitation. The other general limitations still apply. Defined in this Act: company , deduction , exempt income limitation , general limitation , general permission , income , income year , supplement , wholly-owned group of companies , Compare: 2004 No 35 s DV 12