Document ID: chunk:federal_register_of_legislation:C2025C00180:clause:1_6:p26
Version: federal_register_of_legislation:C2025C00180
Segment Type: clause
Provision Reference: sch 1 cl 6 (pt 26/63)
Character Range: 404093–406726

is a resident of that country for the purposes of the taxation laws of that country; or
 (b) if there are no taxation laws of that country applicable to the entity or the entity's residency status cannot be determined under those laws:
 (i) for an individual—the individual is ordinarily resident in that country; or
 (ii) for another entity—the entity is incorporated or formed in that country and is carrying on a business in that country.
 (8) An amount required to be withheld under subsection (4) must be withheld:
 (a) if the recipient is so entitled when the entity receives the payment—immediately after receipt; or
 (b) if the recipient becomes so entitled at a later time—immediately after the later time.

Meaning of custodian
 (9) An entity is a custodian if:
 (a) the entity is *carrying on a *business that consists predominantly of providing a custodial or depository service (within the meaning of the Corporations Act 2001) pursuant to an *Australian financial services licence; or
 (b) the entity is acting on behalf of an entity that is carrying on such a business pursuant to such a licence.

Exceptions
 (10) This section does not apply:
 (a) to a company unless the company would, apart from section 12‑420, be acting in the capacity as *agent for the recipient; or
 (b) to an amount paid or received by an entity to the extent that no *managed investment trust withholding tax is payable in respect of the amount or an amount reasonably attributable to the amount.

12‑395  Requirement to give notice or make information available

Withholding MITs and custodians
 (1) An entity that is a *withholding MIT or a *custodian must comply with subsection (2) if:
 (a) the entity makes a payment to another entity (the recipient) from which an amount would have been required to be withheld under section 12‑385 or subsection 12‑390(1) if the payment had been made to an entity covered by section 12‑410; and
 (b) an amount is not required to be withheld from the payment because the recipient is not an entity covered by section 12‑410.
Note: An entity may be covered by section 12‑410 if the entity has an address outside Australia or payment is authorised to be made to a place outside Australia.
 (2) The entity must:
 (a) give to the recipient a written notice containing the details specified in subsection (3); or
 (b) make those details available on a website in a way that the details are readily accessible to the recipient for not less than 5 continuous years.
 (3) The notice must be given, or the details must be made available on a website, before or at the time when the payment is made and:
 (a) must