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Re: CFC (controlled foreign company) - Required to lodge?

I'm new

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I have been trying to find a definitve answer on this, but can't seem to get any information from ATO website that answers my question.

 

I understand that the income of the CFC (i.e the Profit) needs to be reported in the associate's tax return at 19 Foreign Entities. Are you be to confirmation that 100% wholly owned foreign companies are not required, under any circumstances, to submit annual tax returns in Australia? 

 

 

 

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Devotee

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They are generally speaking not required but as with all things in tax, I would never say never.

 

I'm sure there are esoteric circumstances where there could be lodgement requirements (eg. your CFC is actually a foreign hybrid) etc. 

 

If you are looking for certainty, I would recommend either directly liaising with the ATO or a professional. That way - they can look into all the facts and circumstances to give you a more definitive answer (even then - expect assumptions or a conculsion based on certain facts rather than a 100%, all of the time answer).

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Most helpful response

Devotee

Replies 0

They are generally speaking not required but as with all things in tax, I would never say never.

 

I'm sure there are esoteric circumstances where there could be lodgement requirements (eg. your CFC is actually a foreign hybrid) etc. 

 

If you are looking for certainty, I would recommend either directly liaising with the ATO or a professional. That way - they can look into all the facts and circumstances to give you a more definitive answer (even then - expect assumptions or a conculsion based on certain facts rather than a 100%, all of the time answer).

Community Moderator

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Hi @DozBez 

 

@TaxedoMask is correct. I would suggest contacting our early engagement team. They will be able to look at your specific situation.