Rules relating to determining percentages of interests in entities
18 Rules relating to determining percentages of interests in entities
Exercise of future rights
Subsection (2) applies if:
a person has a right that, if exercised, would result in the person holding an interest in an issued security in the entity; and
it cannot be determined at that time (from the right itself or from the circumstances existing at that time) whether the right would be exercised.
For the purposes of this Act, in determining the percentage of the interests in the issued securities in the entity that the person holds, or would hold, at a particular time, assume that the right were exercised at that time.
Discretionary trusts
For the purposes of this Act, if, under the terms of a trust, a trustee has a power or discretion to distribute the income or property of the trust to one or more beneficiaries, each beneficiary is taken to hold a beneficial interest in the maximum percentage of income or property of the trust that the trustee may distribute to that beneficiary.
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