Income tax: where subsection 51AD(8) of the Income Tax Assessment Act 1936 applies to a company will consideration be given to the exercise of the Commissioner's discretion pursuant to subsection 51AD(9) if the assets of other companies in the group are put at risk?

A company which borrows to finance the acquisition or construction of a property may satisfy the tests in sub-section 51AD(8) if it has few assets.

If the assets of another group company are put at risk, then consideration would be given to the exercise of the discretion in sub-section 51AD(9).