Tax Laws Amendment (Tax Incentives for Innovation) Act 2016 (54 of 2016)

Schedule 2   Venture capital investment

Part 9   Managed investment trusts

Taxation Administration Act 1953

75   After subsection 12-400(2) in Schedule 1

Insert:

(2A) In determining whether a trust is covered by subsection (2), disregard any interest that the trust has in a *VCLP or an *ESVCLP unless:

(a) the trust is a *general partner of the VCLP or ESVCLP; or

(b) the trust has *committed capital in the partnership that, taken together with the sum of the amounts of committed capital in the partnership of any of that partner's *associates (other than associates to whom subsection (2B) applies), exceeds 30% of the partnership's committed capital.

(2B) This subsection applies to:

(a) an *ADI; or

(b) a *life insurance company; or

(c) a public authority:

(i) that is constituted by a law of a State or internal Territory; and

(ii) that carries on life insurance business within the meaning of section 11 of the Life Insurance Act 1995; or

(d) a widely-held complying superannuation fund within the meaning of section 4A of the Pooled Development Funds Act 1992; or

(e) a *widely held foreign venture capital fund of funds.