Tax Laws Amendment (2009 Budget Measures No. 2) Act 2009 (133 of 2009)

Schedule 1   Employee share schemes

Part 2   Consequential amendments

Income Tax Assessment Act 1997

44   Section 208-235

Repeal the section, substitute:

208-235 Distributions to employees acquiring shares under eligible employee share schemes

Division 207 also applies to a *distribution *franked with an exempting credit made by a *former exempting entity as if it were a *franked distribution if:

(a) the distribution is made to an individual who, at the time the distribution is made, is an employee of:

(i) the former exempting entity; or

(ii) a *subsidiary of the former exempting entity; and

(b) the employee acquired a beneficial interest in the *share on which the distribution is made:

(i) under an *employee share scheme; and

(ii) in circumstances specified as relevant in section 208-215; and

(c) the employee does not hold that beneficial interest as a trustee.