Document ID: chunk:federal_register_of_legislation:F2024C00936:reg:16:p1
Version: federal_register_of_legislation:F2024C00936
Segment Type: reg
Provision Reference: reg 16 (pt 1/13)
Character Range: 179468–182022

16    is entitled to the benefit of a guarantee given by:
      (a) the audited body; or
      (b) a related body corporate; or
      (c) an entity that the audited body controls;
      in relation to a loan unless the guarantee is disregarded under subregulation 6.57(6)

6.57  Exceptions to relevant relationships

Housing loan exception
 (1) For the purposes of item 13 of the table in subregulation 6.56(2), disregard a debt owed by an individual to a body corporate or entity if:
 (a) the body corporate or entity is:
 (i) an Australian ADI; or
 (ii) a body corporate registered under the Life Insurance Act 1995; and
 (b) the debt arose because of a loan that the body corporate or entity made to the person in the ordinary course of its ordinary business; and
 (c) the person used the amount of the loan to pay the whole or part of the purchase price of premises that the person uses as their principal place of residence.
Note: Subregulation 6.56(1) provides that an expression used in this regulation that is also used in section 324CH of the Corporations Act 2001 has the same meaning as the term has when used in that section

Goods and services exception
 (2) For the purposes of item 13 of the table in subregulation 6.56(2), disregard a debt owed by a person or firm to a body corporate or entity if:
 (a) the debt arises from the acquisition of goods or services from:
 (i) the audited body; or
 (ii) an entity that the audited body controls; or
 (iii) a related body corporate; and
 (b) the acquisition of goods and services was on the terms and conditions that would normally apply to goods or services acquired from the body, entity or related body corporate; and
 (c) the debt is owed on the terms and conditions that would normally apply to a debt owing to the body, entity or related body corporate; and
 (d) the goods or services will be used by the person or firm:
 (i) for the personal use of the person or firm; or
 (ii) in the ordinary course of business of the person or firm.

Ordinary commercial loan exception
 (3) For the purposes of item 13 of the table in subregulation 6.56(2), disregard a debt owed under a loan that:
 (a) is made or given in the ordinary course of business of:
 (i) the audited body; or
 (ii) the related body corporate; or
 (iii) the controlled entity; and
 (b) is made or given on the terms and conditions that would normally apply to a loan made or given by the audited body, the related body corporate or the controlled entity.

Loans by immediate family members in ordinary business dealing with