Income Tax Act 2007 section 809BZQ

Accounts

Section 809BZQ sets out how references to accounts are to be interpreted for the purposes of the disguised loans chapter, including the treatment of group accounts, the timing of financial liability recognition, and the assumption of compliance with generally accepted accounting practice.

• References to a company's accounts include the consolidated group accounts of any group of which it is a member
• When determining whether an advance is recorded as a financial liability, the accounting period is treated as ending immediately after the advance is received
• Where a person does not prepare accounts under generally accepted accounting practice (GAAP), they are assumed to have done so
• These rules apply throughout the entire disguised loans chapter, providing a consistent basis for interpreting accounting references