Income Tax Assessment Act 1936

PART III - LIABILITY TO TAXATION  

Division 6C - Income of certain public trading trusts  

SECTION 102NA   CERTAIN INTERPOSED TRUSTS NOT TRADING TRUSTS  

102NA(1)  
A unit trust is not a trading trust for the purposes of this Division in relation to a year of income if:


(a) the trust is an interposed trust in relation to a scheme for reorganising the affairs of stapled entities referred to in Subdivision 124-Q of the Income Tax Assessment Act 1997 in relation to the year of income or an earlier year of income; and


(b) a roll-over was obtained by any entity under that Subdivision of that Act in relation to the scheme for the year of income or that earlier year of income; and


(c) the condition in subsection (2) is satisfied.

102NA(2)  
The trustee of the trust must not, at any time during the year of income:


(a) carry on a trading business; or


(b) control, or be able to control, directly or indirectly, the affairs or operations of another entity that carries on a trading business, other than:


(i) a company that was, before the scheme was completed, one of the stapled entities referred to in Subdivision 124-Q of the Income Tax Assessment Act 1997 ; or

(ii) a subsidiary of one of those stapled entities that is a company, or an entity that is controlled or able to be controlled, directly or indirectly, by that company; or

(iii) a trust whose trustee was, before the scheme was completed, assessed and liable to pay tax under this Division (or under former Division 6B, before its repeal by the Tax Laws Amendment (New Tax System for Managed Investment Trusts) Act 2016 and that was, before the scheme was completed, one of those stapled entities; or

(iv) an entity that is controlled or able to be controlled, directly or indirectly, by the trust referred to in subparagraph (iii);
in relation to the year of income or an earlier year of income.

102NA(3)  
In this section:

entity
has the same meaning as in the Income Tax Assessment Act 1997 .


 

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