A New Tax System (Goods and Services Tax) Regulations 2019

Chapter 4 - The special rules  

Part 4-1 - Special rules mainly about particular ways entities are organised  

Division 48 - GST groups  

Subdivision 48-A - Formation and membership of GST groups  

48-10.04   Membership requirements for individuals  

48-10.04(1)  
For the purposes of subparagraph 48-10(1)(a)(ii) of the Act, this section sets out the requirements that an individual must satisfy.

Note:

The individual must also satisfy other membership requirements set out in section 48-10 of the Act.

48-10.04(2)  
The individual must satisfy the requirements of subsection (3), (4) or (5). Requirements that may be satisfied

48-10.04(3)  
The individual satisfies the requirements of this subsection if, for at least one company that is a member of the GST group or proposed GST group:


(a) the individual has at least a 90% stake in the company (worked out in accordance with section 190-5 of the Act as if the individual were a company); or


(b) each shareholder of the company is either the individual or a family member of the individual.

48-10.04(4)  
The individual satisfies the requirements of this subsection if, for at least one partnership that is a member of the GST group or proposed GST group, the partners of the partnership are:


(a) the individual and one or more family members of the individual; or


(b) family members of the individual.

48-10.04(5)  
The individual satisfies the requirements of this subsection if, for at least one trust that is a member of the GST group or proposed GST group:


(a) the beneficiaries of the trust include either or both of the individual and family members of the individual; and


(b) the trustee of the trust distributes income or capital of the trust only to permitted beneficiaries.




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