Taxation (Multinational - Global and Domestic Minimum Tax) Rules 2024

CHAPTER 8 - ADMINISTRATION  

PART 8-2 - SAFE HARBOURS  

Division 4 - Qualified Domestic Minimum Top-up Tax (QDMTT) Safe Harbour  

SECTION 8-220   MEANING OF SECURITISATION ARRANGEMENT  

8-220(1)    
A Securitisation Arrangement means an arrangement that satisfies the following conditions:

(a)    it is implemented for the purpose of pooling and repackaging a portfolio of assets (or exposures to assets) for investors in a manner that legally segregates one or more identified pools of assets;

(b)    it seeks through contractual agreements to limit the exposure of those investors to the risk of insolvency of an Entity holding the legally segregated assets by controlling the ability of identified creditors of that Entity (or of another Entity in the arrangement) to make claims against it through legally binding documentation entered into by those creditors.

8-220(2)    
However, if:

(a)    the Entity or the other Entity mentioned in paragraph (1)(b) is a Constituent Entity of an MNE Group; and

(b)    one or more investors mentioned in paragraph (1)(a) is also a Constituent Entity of the MNE Group;

the arrangement is not a Securitisation Arrangement .