Document ID: chunk:federal_register_of_legislation:C2025C00029:section:4:p28
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 4 (pt 28/34)
Character Range: 3594474–3597179

is redeemable by the entity by payment of a lump sum or by the transfer of property, or the membership interest has a preferred right to a repayment of capital on a winding up, where the amount of the lump sum or the value of the property, or the amount of the capital to be repaid, as the case may be, is to be calculated by reference to an implicit interest rate.
 (8) A *membership interest in an entity is a distribution access membership interest if, having regard to:
 (a) the terms of the issue of the membership interest, including any guarantee of payment of distributions; and
 (b) the amounts of the *distributions paid on the membership interest relative to the issue price of the membership interest; and
 (c) whether there is any guaranteed rate at which *franked distributions are to be paid on the membership interest; and
 (d) the duration of the period within which the membership interest was issued; and
 (e) the rights attached to other membership interests in the entity; and
 (f) any other relevant matters;
it could be concluded that the membership interest was issued only for the purpose of paying distributions to the holder of the membership interest.

208‑35  Accountable partial interests
 (1) The purpose of this section is to identify which *partial interests in an entity are relevant in determining whether the entity is effectively owned by prescribed persons.
 (2) A *partial interest in an entity is an accountable partial interest if it is not an excluded partial interest.
 (3) A *partial interest in an entity is an excluded partial interest if, having regard to:
 (a) the purposes for which the interest was granted; and
 (b) the nature of the interest; and
 (c) any special or limited rights connected with or arising from:
 (i) the interest; or
 (ii) other *membership interests, or partial interests, in the entity held by the holder of the interest; or
 (iii) membership interests, or partial interests, in the entity held by persons other than the holder of the interest;
  including rights that are conferred or exercisable only if the holder of the membership interests or partial interests concerned is, or is not, a prescribed person; and
 (d) the extent to which the interest is similar to or differs from beneficial ownership; and
 (e) the relationship between the value of the interest and the value of the entity; and
 (f) any relationship or connection (whether of a personal or business nature) between holders of partial interests in the entity, and the holders of membership interests in the entity, of which the entity is aware; and
 (g) any *arrangement in respect of membership interests (including unissued membership interests) in the entity,