Income Tax Assessment Act 1936

SCHEDULE 2F - TRUST LOSSES AND OTHER DEDUCTIONS  

Division 269 - Concepts and tests applied in Divisions 266 and 267  

Subdivision 269-C - Passing the 50% stake test etc.  

SECTION 269-55   PASSING THE 50% STAKE TEST  

269-55(1)  
If, at all times during a period, or at 2 times:


(a) the same individuals have more than a 50% stake in the income of a trust; and


(b) the same individuals (who may be different from those in paragraph (a)) have more than a 50% stake in the capital of the trust;

the trust passes the 50% stake test for the period or in respect of the 2 times.

269-55(2)  
If a trust is a widely held unit trust it is taken to pass the 50% stake test for a period or in respect of 2 times if it is reasonable to assume that the requirements of paragraphs (1)(a) and (b) are satisfied in respect of the period or the 2 times.


 

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