Private ruling: Withholding managed investment trust
Date of advice: 18 March 2021
Published: May 2021
Ruling period: 1 July 20XX to 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Will Trust A be a 'withholding MIT' under subsection 12-383(1) of Schedule 1 to the Taxation Administration Act 1953 ? | A1: Yes

Relevant facts and circumstances: Trust A has 2 unit holders, covered by subsection 275-20(4) of the Income Tax Assessment Act 1997 (ITAA 1997). Trust A indirectly owns land in Australia. The trustee of Trust A is a company incorporated in Australia. Trust A is covered by section 275-15 of the ITAA 1997, and satisfies the licensing requirements in section 275-35 of the ITAA 1997. Trust A is not registered under section 601EB of the Corporations Act 2001 . Trust A has an Australian investment manager that carries out the relevant investment management activities in Australia.


Reasons for decision: Summary: Trust A is a 'managed investment trust' under paragraph 275-10(1)(a) and subsection 275-10(3) of the ITAA 1997. This satisfies paragraph 12-383(1)(a) of Schedule 1 to the TAA 1953. The investment management activities of Trust A satisfy paragraph 12-383(1)(b) of Schedule 1 to the TAA 1953. Therefore, Trust A will be a 'withholding MIT' under subsection 12-383(1) of Schedule 1 to the TAA 1953.