Taxation Administration Regulations 2017

PART 3 - INCOME TAX (CHAPTER 2 IN SCHEDULE 1 TO THE ACT)  

Division 2 - Pay as you go (PAYG) withholding - Payments from which amounts must be withheld  

Subdivision B - Payments where TFN not quoted  

SECTION 29   DISTRIBUTIONS OF INCOME OF CLOSELY HELD TRUSTS - PRESCRIBED TRUSTS  

29(1)    
For the purposes of subparagraph 12-175(1)(c)(iii) in Schedule 1 to the Act, the following trusts are prescribed:


(a) a discretionary mutual fund (within the meaning of subsections 5(5) and (6) of the Financial Sector (Collection of Data) Act 2001 );


(b) a trust that is a fund that provides professional indemnity insurance or insurance-like cover to a legal practitioner, including a fund established under legislation or by a State or Territory law society to provide professional indemnity cover to its members;


(c) an employee share trust for an employee share scheme;


(d) a trust covered by subsection (2).

Law practice trusts

29(2)    
This subsection covers a trust that is:


(a) created and maintained for the purposes of, or in connection with:


(i) the provision of legal services by a duly qualified legal practitioner; or

(ii) the deposit of money of a kind described in column 1 of item 4 of the table in subsection 202D(1) of the Income Tax Assessment Act 1936 ; and


(b) regulated by a State or Territory law for the regulation of legal practices or legal services.




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