The taxpayer has discontinued its appeal to the Full Federal Court against the decision of Robertson J in Australian Pipeline Limited as Responsible Entity for the Australian Pipeline Trust v FCT [2013] FCA 1372. The Federal Court had dismissed the taxpayer’s appeal from an adverse private ruling concerning the issue of whether the conditions for the exception provided in s 705-47(5) of the ITAA 1997 (dealing with the consolidation tax cost setting amount for assets where entities become subsidiary members of consolidated groups) were satisfied for the period 1 July 2011 to 30 June 2012.
[LTN 108, 6/6/14]
Catchwords from [2013] FCA 1372
INCOME TAX – tax cost setting amount for assets where entities become subsidiary members of consolidated groups – off-market take-over bid – GasNet Australia Trust became an associate of Australian Pipeline Trust no later than 3 October 2006 when Australian Pipeline Trust had acquired more than 50% of the units in GasNet Australia Trust – joining time was 20 December 2006 when Australian Pipeline Trust had acquired 100% of the units in GasNet Australia Trust and GasNet Australia Trust became a subsidiary member of the consolidated group – whether GasNet Australia Trust was not an associate of the Australian Pipeline Trust “just before the joining time” within the meaning of s 705-47(5)(b)(i) of the Income Tax Assessment Act 1997.