Document ID: chunk:federal_register_of_legislation:C2025C00029:section:7:p12
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 7 (pt 12/58)
Character Range: 2329014–2331724

Division 6 of Part III of the Income Tax Assessment Act 1936, to; or
 (b) has or is likely to have an individual interest, for the purposes of Division 5 of Part III of the Income Tax Assessment Act 1936, in;
a share of income of the trust, either directly or indirectly through one or more interposed partnerships or trusts.
 (8) For the purposes of this section, the place of residence of a *general partner of a *limited partnership:
 (a) that is a company or a limited partnership; and
 (b) that is a foreign resident;
is the place in which the general partner has its central management and control.
 (9) For the purposes of this section, the place of residence of an entity referred to in paragraph (5)(a) is the place in which the entity has its central management and control.

118‑425  Meaning of eligible venture capital investment—investments in companies

Requirements for an eligible venture capital investment
 (1) An investment is an eligible venture capital investment if:
 (a) it is *at risk; and
 (b) it is:
 (i) an acquisition of *shares in a company; or
 (ii) an acquisition of options (including warrants) originally issued by a company to acquire shares in the company; or
 (iii) an acquisition of *convertible notes (other than convertible notes that are *debt interests) issued by a company; and
 (c) the company meets the requirements of subsections (2) to (7); and
 (d) the sum of:
 (i) the total amount that the partnership has invested in all the *equity interests and *debt interests that the partnership owns in the company; and
 (ii) the total amount that the partnership has invested in all the equity interests and debt interests that the partnership owns in any entities that are *connected entities of the company;
  does not exceed 30% of the partnership's *committed capital.

Certain entities not treated as connected entities
 (1A) In applying subparagraph (1)(d)(ii), ignore an entity that is a *connected entity of the company only because it is an *associate of the company because of an investment made in the entity by the partnership.

Location within Australia
 (2) The company:
 (a) must, at the time the investment is made, be an Australian resident; and
 (b) if at that time the entity making the investment does not own any other investments in the company—must meet the following requirements:
 (i) more than 50% of the people who are currently engaged by the company to perform services must perform those services primarily in Australia;
 (ii) more than 50% of its assets (determined by value) must be situated in Australia;
  during the whole of the period of 12 months, or such shorter period as *Industry Innovation and Science Australia determines under