A New Tax System (Goods and Services Tax) Regulations 2019

Chapter 4 - The special rules  

Part 4-1 - Special rules mainly about particular ways entities are organised  

Division 48 - GST groups  

Subdivision 48-A - Formation and membership of GST groups  

SECTION 48-10.03A   Alternative membership requirements for groups of fixed trusts  

(1)  
This section sets out the alternative requirements mentioned in paragraph 48-10.03(1)(a) for a trust to satisfy in relation to a GST group or proposed GST group that consists only of fixed trusts.

Note:

The fixed trust must also satisfy other membership requirements set out in section 48-10 of the Act.

(2)  
The fixed trust must be a member of the same 90% owned trust group as all other fixed trusts in that group.

(3)  
For the purposes of this section:


(a) two fixed trusts are members of the same 90% owned trust group if:


(i) the trustee of one of the trusts has at least a 90% trust stake in the other trust; or

(ii) the trustee of a third trust has at least a 90% trust stake in each of the 2 trusts; and


(b) the trustee of a fixed trust (the head trust ) has at least a 90% trust stake in another fixed trust (the sub-trust ) if the trustee:


(i) owns at least 90% of the issued units in the sub-trust (whether directly or indirectly through one or more interposed trusts or companies); and

(ii) has the right to receive at least 90% of any distribution of capital or income of the sub-trust.

 

Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited

CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.

The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.