Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) 2 entities have a common - ownership nexus within a period if, and only if, they satisfy the test in any of the one or more items in the table applicable to them.
Common - ownership nexus within a period | ||
Item | If the entities are: | This is the test: |
1 | both companies | There must be 2 or more * ultimate owners who: (a) at some time during that period, because of the same test in section 727 - 405, have * ultimate stakes, of percentages totalling at least 80%, in one of the companies; and (b) at that or a different time during that period, because of that same test, have * ultimate stakes, of percentages totalling at least 80%, in the other company Also, subsection (2) of this section must be satisfied |
2 | both * fixed trusts | There must be 2 or more * ultimate owners who: (a) at some time during that period, because of the same test in section 727 - 410, have * ultimate stakes, of percentages totalling at least 80%, in one of the trusts; and (b) at that or a different time during that period, because of that same test, have * ultimate stakes, of percentages totalling at least 80%, in the other trust Also, subsection (2) of this section must be satisfied |
3 | a company and a * fixed trust | There must be 2 or more * ultimate owners who: (a) at some time during that period, because of the same test in section 727 - 405, have * ultimate stakes, of percentages totalling at least 80%, in the company; and (b) at that or a different time during that period, because of the same test in section 727 - 410, have * ultimate stakes, of percentages totalling at least 80%, in the trust Also, subsection (2) of this section must be satisfied |
4 | a company and a * non - fixed trust | There must be 2 or more * ultimate owners: (a) each of whom * controls (for value shifting purposes) the non - fixed trust because of section 727 - 365 at the same time during that period; and (b) who, at that or a different time during that period, have * ultimate stakes, of percentages totalling at least 80%, in the company because of the same test in section 727 - 405 |
5 | a * fixed trust and a * non - fixed trust | There must be 2 or more * ultimate owners: (a) each of whom * controls (for value shifting purposes) the non - fixed trust because of section 727 - 365 at the same time during that period; and (b) who, at that or a different time during that period, have * ultimate stakes, of percentages totalling at least 80%, in the fixed trust because of the same test in section 727 - 410 |
Additional condition about profile of percentage ultimate stakes held by 2 or more ultimate owners
(2) In order to satisfy the test in item 1, 2 or 3 in the table in subsection (1), at least one of subsections (3), (4) and (5) must be satisfied.
(3) For at least one of the * ultimate owners referred to in that item, the percentage of the * ultimate stake that owner has as mentioned in paragraph (a) in the last column of that item must be at least 40%, and so must the percentage of the ultimate stake that owner has as mentioned in paragraph (b) in the last column of that item.
(4) Alternatively, for each of those * ultimate owners, the percentage of the * ultimate stake that owner has as mentioned in that paragraph (a) must be the same as the percentage of the ultimate stake that owner has as mentioned in that paragraph (b).
(5) Alternatively, the number of those * ultimate owners must not exceed 16.