Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 165.208

  (1)   For the purposes of a primary test or an alternative test, an entity is not prevented from:

  (a)   beneficially owning * shares in a company; or

  (b)   having the right to exercise, controlling, or being able to control, voting power in a company; or

  (c)   having the right to receive any * dividends that a company may pay; or

  (d)   having the right to receive any distribution of capital of a company;

merely because:

  (e)   the company is or becomes:

  (i)   a Chapter   5 body corporate within the meaning of the Corporations Act 2001 ; or

  (ii)   an entity with a similar status under a * foreign law to a Chapter   5 body corporate; or

  (f)   either:

  (i)   a provisional liquidator is appointed to the company under section   472 of the Corporations Act 2001 ; or

  (ii)   a person with a similar status under a foreign law to a provisional liquidator is appointed to the company.

Note 1:   For a primary test, see subsections   165 - 150(1), 165 - 155(1) and 165 - 160(1).

Note 2:   For an alternative test, see subsections   165 - 150(2), 165 - 155(2) and 165 - 160(2).

  (2)   For the purposes of a primary test or an alternative test, a company (the stakeholding company ) is not prevented from:

  (a)   beneficially owning * shares in another company, or any other interest in another entity; or

  (b)   having the right to exercise, controlling, or being able to control, voting power in another company or any other entity; or

  (c)   having the right to receive any * dividends that another company or any other entity may pay; or

  (d)   having the right to receive any distribution of capital of another company or of any other entity;

merely because:

  (e)   the stakeholding company is or becomes:

  (i)   a Chapter   5 body corporate within the meaning of the Corporations Act 2001 ; or

  (ii)   an entity with a similar status under a * foreign law to a Chapter   5 body corporate; or

  (f)   either:

  (i)   a provisional liquidator is appointed to the stakeholding company under section   472 of the Corporations Act 2001 ; or

  (ii)   a person with a similar status under a foreign law to a provisional liquidator is appointed to the stakeholding company.