27 Mar 077 ATO discussion paper on s 974-80 ITAA 1997The ATO has published a discussion paper on s 974-80 ITAA 1997, contained in the debt/equity provisions. The purpose of the paper is to explain the ATO's preliminary (though considered) views on the application of s 974-80 of ITAA 1997, and provide industry and professional bodies with the opportunity to comment.
Section 974-80 was introduced to deal with arrangements that granted an investor (the ultimate recipient) an interest which was effectively, but not actually, an equity interest in a company.
Comments on the discussion paper should be submitted to the ATO by 27 April 2007.
For more information and a copy of the paper, go here