Tax Laws Amendment (2006 Measures No. 7) Act 2007 (55 of 2007)

Schedule 1   Small business relief for CGT events

Income Tax Assessment Act 1997

37   At the end of section 152-40

Add:

(5) This subsection applies to a trust if:

(a) interests in the trust are listed for quotation in the official list of an *approved stock exchange; or

(b) the trust has more than 50 *members, unless the trust is a discretionary trust or a trust where at least one of the following conditions is met during an income year:

(i) no more than 20 persons held, or had the right to acquire or become the holders of, *membership interests representing at least 75% of the value of the membership interests in the trust;

(ii) if there are *trust voting interests in the trust - at least 75% of the trust voting interests in the trust was capable of being controlled by no more than 20 persons;

(iii) at least 75% of the amount of any distribution made by the trustee during the year was made to no more than 20 persons;

(iv) if no distribution was made by the trustee during the year - the Commissioner is of the opinion that, if a distribution had been made during the year, at least 75% of the distribution would have been made to no more than 20 persons.