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Australia Issues Taxation Determination on Active Income Test Exclusion for Australian Financial Institution Subsidiaries

|Approved Changes|Australia
Australia

The Australian Taxation Office (ATO) has issued Taxation Determination (TD) 2019/8 - Income tax: in the definition of 'financial intermediary business' what is meant by 'a business whose income is principally derived from the lending of money'?

TD 2019/8 is in relation to the application of the active income test under the controlled foreign companies (CFC) rules, which includes that Australi…

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