Groups arising from tracing of interests in corporations
35A Groups arising from tracing of interests in corporations
For the purposes of this section —
associated person means a person who is associated with another person in accordance with any of the following —
persons are associated persons if they are related persons;
individuals are associated persons if they are partners in a partnership;
private companies are associated persons if common shareholders have a majority interest in each private company;
trustees are associated persons if any person is a beneficiary common to the trusts (not including a public unit trust scheme) of which they are trustees;
a private company and a trustee are associated persons if a related body corporate of the company is a beneficiary of the trust (not including a public unit trust scheme) of which the trustee is a trustee;
entity means —
a person; or
2 or more persons who are associated persons;
private company means a company that is not limited by shares, or whose shares are not quoted on the Australian Stock Exchange or any exchange of the World Federation of Exchanges;
related person means a person who is related to another person in accordance with any of the following —
individuals are related persons if —
one is the spouse or de facto partner of the other; or
the relationship between them is that of parent and child, brothers, sisters, or brother and sister;
private companies are related persons if they are related bodies corporate;
an individual and a private company are related persons if the individual is a majority shareholder or director of the company or of another private company that is a related body corporate of the company;
an individual and a trustee are related persons if the individual is a beneficiary of the trust (not being a public unit trust scheme) of which the trustee is a trustee;
a private company and a trustee are related persons if the company, or a majority shareholder or director of the company, is a beneficiary of the trust (not being a public unit trust scheme) of which the trustee is a trustee.
An entity and a corporation form part of a group if the entity has a controlling interest in the corporation.
An entity has a controlling interest in a corporation if the corporation has share capital and —
the entity has a direct interest in the corporation the value of which exceeds 50%; or
the entity has an indirect interest in the corporation the value of which exceeds 50%; or
the entity has an aggregate interest in the corporation the value of which exceeds 50%.
The Commissioner may exclude an entity from a group in accordance with section 38.
[Section 35A inserted: No. 15 of 2010 s. 23.]
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