13B—Land tax for beneficiary/trustees
(a)
holds a beneficial interest in land subject to a fixed trust in respect of
which a
notice is in force under section 12 (the "first trust") as
trustee of another trust (the "second trust") is deemed, for the purposes of
this Act other than a residential land exemption, to be the owner of land
subject to the first trust that bears the same proportion to the whole of the
land subject to the first trust as the person's beneficial interest in the
land subject to the first trust bears to the total beneficial interests in
land subject to the first trust; and
(b)
holds units in a unit trust scheme in respect of which a notice is in force
under
section 13 (the "first scheme") as trustee of another trust
(the "second trust") is deemed, for the purposes of this Act other than a
residential land exemption, to be the owner of land subject to the first
scheme that bears the same proportion to the whole of the land subject to the
first scheme as the person's unitholding in the first scheme bears to the
total unitholdings in the first scheme.
(2) For the purposes
of this section, a person referred to in subsection (1) is called a
"beneficiary/trustee".
(3) Subject to
subsection (4), there is to be deducted from any land tax payable by a
beneficiary/trustee on land that is subject to the second trust an amount (if
any) necessary to avoid double taxation, being the amount determined by the
formula:
Where—
"A" is—
(a) the
proportion of the beneficiary/trustee's beneficial interest in land subject to
the first trust to the total beneficial interests in land subject to the
first trust; or
(b) the
proportion of the beneficiary/trustee's unitholding in the first scheme to the
total unitholdings in the first scheme
"B" is the total amount of land tax assessed on the trustee of the first trust
or the first scheme on the whole of the land subject to the first trust or
first scheme.
(4) If a deduction
under subsection (3) would result in a negative amount—
(a) zero
is to be substituted for that amount; and
(b) the
amount of the difference between that amount and zero will not be credited to
any liability for land tax under this Act.
(5) This section does
not apply where the first or second trust, or the first scheme, is an
excluded trust.