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Edited version of your written advice
Authorisation Number: 1012745747777
Ruling
Subject: Application of the Same Business Test
Question
Will the Trust continue to satisfy the same business test under paragraph 266-125(2)(b) and section 269-100 of Schedule 2F to the Income Tax Assessment Act 1936 (ITAA 1936) following a change to the structure in which a portion of its investments are held?
Answer
Yes
This ruling applies for the following periods:
Income years 20xx - 20yy
The scheme commences on:
When the change to the structure in which a portion of its investments are held happens.
Relevant facts and circumstances
Trust is a listed widely held trust. Trust experienced abnormal trading in the Trust's units (as defined in Subdivision 269-B of Schedule 2F to the ITAA 1936), and as a consequence does not pass the '50% stake test' (as defined in Subdivision 269-C of Schedule 2F to the ITAA 1936).
Subsequent to the abnormal trading in Trust units, Trust changed the structure in which a portion of its investments were held.
Relevant legislative provisions
Paragraph 266-125(2)(b) of Schedule 2F to the Income Tax Assessment Act 1936
Section 269-100 of Schedule 2F to the Income Tax Assessment Act 1936
Reasons for decision
After considering the relevant facts, the Commissioner has decided that the change in the structure in which Trust held its investments does not cause Trust to fail the same business test (as defined in subdivision 269-F of Schedule 2F to the ITAA 1936).