Taxation Laws Amendment Act (No. 2) 1995 (169 of 1995)

Schedule 2   EMPLOYEE SHARE SCHEMES

Part 4   APPLICATION AND TRANSITIONAL

11   Application of amendments

(1) Subject to this section, the amendments made by this Schedule

apply to the acquisition of a share, or right to acquire a share, if

it occurs after 6 p.m. by legal time in the Australian Capital

Territory on 28 March 1995.

(2) The amendments made by this Schedule do not apply to the

acquisition of a share where the share was acquired as a result of the

exercise of a right that:

(a) was acquired at or before 6 p.m. by legal time in the Australian

Capital Territory on 28 March 1995; or

(b) is covered by subitem (3), (4) or (5).

(3) Subject to item 12, the amendments made by this Schedule do not

apply to the acquisition of a share or right before 1 July 1995 where:

(a) the share or right was acquired as a result of an offer, or an

invitation, made at or before 6 p.m. by legal time in the Australian

Capital Territory on 28 March 1995; and

(b) the offer or invitation was made to employees of a company to

acquire shares, or rights to acquire shares, in the company or in a

holding company of the company.

(4) Subject to item 12, the amendments made by this Schedule do not

apply to the acquisition of a share or right before 1 July 1996 where:

(a) the offer or invitation is to acquire shares, or rights to

acquire shares, in a public company; and

(b) the share or right is acquired as a result of an offer, or an

invitation, to employees of the public company or a subsidiary of the

public company; and

(c) if the approval of shareholders is required for the scheme under

which the offer or invitation was made-the scheme was approved by

shareholders of the public company before 6 p.m. by legal time in the

Australian Capital Territory on 28 March 1995.

(5) A taxpayer may make an election that the amendments made by this

Schedule do not apply to the acquisition of particular shares or

rights where:

(a) the total market value, when acquired, of the shares or rights

covered by the election, does not exceed $1000; and

(b) the shares or rights were acquired before 1 July 1995 as a

result of an offer, or an invitation, made at or before 6 p.m. by

legal time in the Australian Capital Territory on 28 March 1995.

(6) For the purposes of subitem (5), the market value of a right is

taken to be the same as the market value of the share to which it

relates.

(7) In this item:

public company means:

(a) a public company within the meaning of the Corporations Law; or

(b) a company established by Commonwealth, State or Territory

legislation; or

(c) a company listed on an approved stock exchange.

Note: Approved stock exchange is defined in section 139GD of the

Income Tax Assessment Act 1936.

subsidiary has the same meaning as in the Corporations Law.


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