Tax Laws Amendment (2009 Budget Measures No. 2) Act 2009 (133 of 2009)

Schedule 1   Employee share schemes

Part 2   Consequential amendments

Income Tax Assessment Act 1997

38   Subsections 125-75(2) and (3)

Repeal the subsections, substitute:

(2) An *ownership interest, in a company, that is owned by an entity is disregarded under subsection (1) if:

(a) the entity acquired a beneficial interest in the ownership interest under an *employee share scheme; and

(b) either Subdivision 83A-B and subsections 83A-35(3) to (9), or Subdivision 83A-C, applies to the beneficial interest; and

(c) the ownership interest is not a fully-paid ordinary *share.

(3) An *ownership interest, in a trust, that is owned by an entity is disregarded under subsection (1) if:

(a) both of the following would apply if Division 83A (about employee share schemes) applied to ownership interests in trusts in the same way as it applies to *shares:

(i) the entity acquired a beneficial interest in the ownership interest under an *employee share scheme;

(ii) either Subdivision 83A-B and subsections 83A-35(3) to (9), or Subdivision 83A-C, applies to the beneficial interest; and

(b) the ownership interest is not a fully-paid unit.


Copyright notice

© Australian Taxation Office for the Commonwealth of Australia

You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).