Document ID: chunk:federal_register_of_legislation:C2025C00014:schedule:2f:p4
Version: federal_register_of_legislation:C2025C00014
Segment Type: schedule
Provision Reference: sch 2F (pt 4/79)
Character Range: 2219252–2221753

those entitlements to those shares at all times during the test period.

Third condition
 (4) At the beginning of the test period:
 (a) individuals must not have had more than a 50% stake in the income of the trust; or
 (b) individuals must not have had more than a 50% stake in the capital of the trust.

Fourth condition
 (5) It must be the case that, for each non‑fixed trust (other than an excepted trust) that, at any time in the test period, held directly or indirectly a fixed entitlement to a share of the income or capital of the trust:
 (a) if this section is being applied for the purposes of section 266‑25—section 267‑20 would not have prevented the non‑fixed trust from deducting the tax loss concerned if it, rather than the fixed trust, had incurred the loss; or
 (b) if this section is being applied for the purposes of section 266‑30—section 267‑60 does not require the non‑fixed trust to work out its net income and tax loss for the income year under Division 268; or
 (c) if this section is being applied for the purposes of section 266‑35—section 267‑25, or section 267‑65, as the case requires, would not have prevented the non‑fixed trust from deducting the amount concerned if it, rather than the fixed trust, would otherwise be entitled to deduct the amount.

266‑50  Deducting part of a tax loss
 (1) If section 266‑25 prevents the fixed trust from deducting a tax loss, it can deduct the part of the tax loss that is attributable to a part of the loss year.
 (2) However, the trust can do this only if, assuming that that part of the loss year had been treated as the whole of the loss year for the purposes of sections 266‑40 and 266‑45, the trust would have been entitled to deduct the tax loss.

266‑55  Information about non‑fixed trusts with interests in fixed trust

Notice about non‑resident non‑fixed trust
 (1) The Commissioner may give the trustee of a fixed trust a notice in accordance with section 266‑60 if the requirements of subsections (2) to (5) of this section are met.

First requirement
 (2) In its return of income for an income year, the fixed trust:
 (a) must have deducted a tax loss from an earlier income year; or
 (b) must not have worked out its net income and tax loss for the income year under Division 268; or
 (c) must have deducted an amount in relation to a debt;
where it would not be allowed to deduct the tax loss or amount in respect of the debt, or would be required to work out its net income and tax loss under that Division, unless