Company: GVH
Filing Date: 2025-02-12
Form Type: 20-F
Source: 0001493152-25-006117
Chunk: 151

Company: Globavend Holdings Ltd
Filing Date: 2025-02-12
Form: 20-F
Item: Item 3
Chunk 151
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 the loss carry back tax offset rules introduced in the 2020-21 Federal Budget.

Trusts and partnerships

Australian Resident
Holders who are trustees (other than trustees of complying superannuation entities, which are dealt with above) or partnerships are also
required to include any dividends and any franking credits in calculating the net income of the trust or partnership. Where a fully franked
or partially franked dividend is received, the relevant beneficiary or partner may be entitled to a tax offset equal to the beneficiary’s
or partner’s share of the net income of the trust or partnership.

To the extent that
the dividend is unfranked, an Australian trustee (other than trustees of complying superannuation entities) or partnerships, will be
required to include the unfranked dividend in the net income of the trust or partnership. The relevant beneficiary will be taxed at the
relevant prevailing tax rate on their share of the net income of the trust or partnership (with no tax offset).

Qualified Persons

The benefit of franking
credits can be denied where an Australian Resident Holder is not a ‘qualified person’ in which case the Holder will not be
able to include an amount for the franking credits in their assessable income and will not be entitled to a tax offset.

Broadly, to be a qualified
person, a shareholder must satisfy the holding period rule and, if necessary, the related payment rule. The holding period rule requires
a shareholder to hold the shares ‘at risk’ for at least 45 days continuously during the qualification period - starting from
the day after acquiring the shares and ending 45 days after the shares become ex-dividend - in order to qualify for franking benefits.

This holding period
rule is subject to certain exceptions, including where the total franking offsets of an individual in a year of income do not exceed
A$5,000.

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Whether you are qualified
person is a complex tax issue which requires analysis based on each shareholder’s individual circumstances. Iris Energy ordinary
shareholders should obtain their own tax advice to determine if these requirements have been satisfied.

Capital Gains Tax
(“ CGT”) Implications

Disposal of shares

For Australian Resident
Holders, who hold their Ordinary Shares on capital account, the future disposal of Ordinary shares will give rise to a CGT event at the
time which the legal and beneficial ownership of the Ordinary Shares are disposed of. Australian Resident Holders will derive a capital
gain on